BAD DEBTS AND ALLOWANCE FOR DOUBTFUL ACCOUNTS

Front

An increase in the allowance for doubtful accounts would result in _______________.

Back

an increase in expenses

Front

Bad debts can be classified as a/an _______________.

Back

expense

Front

State the double entries to record an increase in allowance for doubtful accounts: Debit. Bad Debts; Credit. Allowance for doubtful Accounts

Back

Debit. Bad Debts; Credit. Allowance for doubtful Accounts

Front

What is debt?

Back

Money that is owed because of borrowing

Front

Credit means you ________now and ________ it back later.

Back

Borrow, Pay

Front

Under the allowance method, the journal entry to write off an uncollectible account is _______.

Back

Debit. Allowance for Doubtful Accounts; Credit. Accounts Receivable

Front

Under the allowance method, the journal entries to record uncollectible accounts expense is _______.

Back

Debit. Bad Debts
Credit. Allowance for Doubtful Debts

Front

Advise Ramesh on the accounting record for the situation where Thomas is unable to pay the debt he owes to Ramesh if he is using the DIRECT write off method.

Back

Debit - Bad debts
Credit - Thomas A/ R Account

Front

The account Allowance for Uncollectible Accounts is classified as a(n) __.

Back

Contra Asset

Front

Allowance for Doubtful Accounts is related to which account? Options: Accounts Receivable, Notes Receivable, Cash, Accounts Payable

Back

Accounts Receivable