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true or false: The direct write off method is acceptable for financial reporting purposes.

true or false: The direct write off method is acceptable for financial reporting purposes.

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Answer #1

The following Statement is True

In accounting Policy Debit allowance for Doubtful Accounts to record Write off of accounts

1. Shows the only actual losses from the Un-collectible accounts Receivable

2. Estimates Bad debts Losses

3.This method is used For 2 Types a. Accounts Receivable b. Bad debts Expenses

4. In direct Write off Method and there is no Contra asset Account and allowances for Doubtful Accounts.

5. this write off method used ion US Income Tax Reporting.

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