The estimated Bad Debt Expense is recorded in the same accounting period as the related sale because of which accounting principle?

Select one:

a$.$ Matching

b$.$ Historical cost

c$.$ Going concern

d$.$ Full disclosure

Clear my choice

The journal entry to write off an account receivable has what effect Retained Earnings and the Allowance account, respectively.

a$.$ No Effect, No Effect

b$.$ No Effect, Decrease

c$.$ Decrease, Decrease

d$.$ Decrease, No Effect

Clear my choice

$3$

The year$-$end adjusting journal entry to record bad debts has what effect on the following:

out of

Select one:

move flag

a$.$ Allowance for Bad Debts

Retained Earnings

Increase

Increase