47. On October 12 of the current year, a company's controller determined that a customer's account receivable in the amount of $11.750 was uncollectible and that the account should be written off. The company's accounting policies require the use of the allowance method for the recognition of bad debts. A. Using the T-account below, prepare the entry to write of the receivable. ASSETS LIABILITIES LIABILITIES + + EQUITY EQUITY Non-current Assets Property Plant & Equipmen Current Assets Investment Intangible Assets/ Other Current Liabilitie Non- Current Liabilitie S d Contribute Capital Earned Capital Accumulate dOCI cash AR -11,750 wance for holdful dolls 11,750 B. What effect will this write-off have on the company's net income and total assets? a. Decrease in net income; no effect on total assets. (b) No effect on net income; no effect on total assets. c. Decrease in net income; decrease in total assets. d. Increase in net income; no effect on total assets. e. No effect on net income; decrease in total assets. 18. A method of estimating bad debts expense that involves a detailed examination of outstanding accounts and the length of time past due is the: Direct write-off" method. 6 Aging of accounts receivable method. c. Percentage of sales method. d. Aging of investments method. e. Percent of accounts receivable method