Which of the following statements regarding the Allowance for Doubtful Accounts account is accurate?

Multiple Choice

• It appears as an expense account within the Income Statement.

• It appears as a contra account within the asset section of the Balance Sheet.

• It appears as a liability account within the Balance Sheet.

• It appears as a revenue account within the Income Statement.

For a firm that uses the allowance method of accounting for uncollectible accounts, there are two necessary journal entries when collecting an account that has been previously written off. Which account appears within both of these journal entries?

Multiple Choice

• Allowance for Doubtful Accounts

• Cash

• Accounts Receivable

• Uncollectible Accounts Expense

When the direct charge-off method is used, the entry to record the write off of a customers account would include:

Multiple Choice

• a credit to the Uncollectible Accounts Expense account to reduce its balance.

• a debit to the Uncollectible Accounts Expense account to reduce its balance.

• a credit to the Uncollectible Accounts Expense account to increase its balance.

• a debit to the Uncollectible Accounts Expense account to increase its balance.