There are two methods for accounting for uncollectible accounts receivable direct write off and the allowance method. Under the allowance method the write-off of a specific accounts recewable: Pese add the imani next to the correct answers 10 decreases net income and decreases accounts receivable 2 a decreases net income and decreases working capital. 3. affects neither net income nor accounts receivable 4 affects neither net income nor working capital 5 increases bad debt expense and increases the allowance for doubtful accounts