The matching principle requires use of the direct write-off method of accounting for bad debts.
举一反三
- The direct write-off method of accounting for bad debts records the loss from an uncollectible account receivable when it is determined to be uncollectible.
- Under and allowance method of accounting for bad debts , the entry made when an account is written off is
- When the allowance method is used for bad debts ,the entry to write off an individual account known to be uncollectible involves a
- Companies use two methods to account for uncollectible accounts: the direct write-off method and the allowance method. ( )
- Using the direct write-off method, the bad debt expense that is recorded as a specific customer's account is determined to be noncollectible.