Which of the following statements is false? Accounts receivable are shown on the balance sheet at their net realizable value. Recording the collection of a previously written off account will not affect the income statement. The direct write off method of accounting for bad debt is allowed under GAAP if the company's accounts receivable are immaterial The balance sheet approach of estimating uncollectible accounts takes into account the existing balance in the Allowance for Doubtful Accounts account Bad Debts Expense is a contra-account that is used to reduce accounts receivable to its net realizable value