Seved Required information (The following information applies to the questions displayed below.) On January 1. Year 2, Kincaid Company's Accounts Receivable and the Allowance for Doubtful Accounts carried balances of $71,800 and $3,100, respectively. During Year 2, Kincaid reported $194,000 of credit sales, wrote off $1,800 of receivables as uncollectible, and collected cash from receivables amounting to $234,500. Kincaid estimates that it will be unable to collect one percent (1%) of credit sales. Which of the following describes the effects of writing off the uncollectible accounts? Multiple Choice O Does not affect assets or stockholders' equity Increase assets and stockholders' equity O Decrease assets and stockholders' equity O C) Increase assets and decrease stockholders' equity O