using the allowance method for bad debts expense, the allowance for doubtful accounts is decreased:\nmultiple…

using the allowance method for bad debts expense, the allowance for doubtful accounts is decreased:\nmultiple choice\nwhen all supplier accounts are considered collectible.\nwhen a specific customer account is collected.\nwhen a sale to a credit customer is made.\nwhen a specific customer account is written off.\nwhen the estimate of bad debts is expensed.

Answer

Brief Explanations:

When all supplier accounts are considered collectible, it doesn't directly affect the Allowance for Doubtful Accounts in a decreasing way.
When a specific customer account is collected, it affects cash and accounts receivable, not the allowance account.
When a sale to a credit customer is made, it affects accounts receivable and revenue, not the allowance account.
When the estimate of bad debts is expensed, the Allowance for Doubtful Accounts is increased (debit Bad Debts Expense, credit Allowance for Doubtful Accounts).
When a specific customer account is written off (using the allowance method), the journal entry is debit Allowance for Doubtful Accounts and credit Accounts Receivable. This decreases the Allowance for Doubtful Accounts.

Answer:

When a specific customer account is written off.