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Reinstating Written-Off Accounts The Watergate Company uses the allowance method of recording credit losses and wrote off a customers account in the amount of $1,800.
Reinstating Written-Off Accounts
The Watergate Company uses the allowance method of recording credit losses and wrote off a customers account in the amount of $1,800. Later, the customer paid the account. The company reinstated the account and then recorded the collection. What is the result of these procedures? Total assets: increases?
decreases?
remains the same? The amount of the increase or decrease to total assets is: $ ? Do not use a negative sign with your answer. If there is no change to total assets, enter zero as your answer.
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