Question

question 22 (mandatory) (5 points) miles uses the allowance method and wrote off the account of james. miles then received $559 as partial payment on the account of james. the journal entry to record the initial write - off includes a debit to allowance for doubtful accounts credit to cash debit to accounts receivable, james credit to bad debt expense

Explanation:

When using the allowance method to write - off an account, the journal entry debits the Allowance for Doubtful Accounts and credits the Accounts Receivable of the specific customer. This reduces the amount in the allowance account and removes the uncollectible account from the accounts - receivable balance.

Answer:

A. debit to Allowance for Doubtful Accounts