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Theo Co.'s Accounts Receivable manager decides to write off a customer's $2,300 balance due to the customer's bankruptcy. The journal entry using the Allowance
Theo Co.'s Accounts Receivable manager decides to write off a customer's $2,300 balance due to the customer's bankruptcy. The journal entry using the Allowance Method would be: A. a debit to Accounts Receivable for $2,300 and a credit to the Allowance for Doubtful Accounts for $2,300. B. a debit to Bad Debt Expense for $2,300 and a credit to the Allowance for Doubtful Accounts for $2,300. C. a debit to the Allowance for Doubtful Accounts for $2,300 and a credit to Bad Debt Expense for $2,300. D. a debit to Allowance for Doubtful Accounts for $2,300 and a credit to Accounts Receivable for $2,300.
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