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J-Pac Co. uses the Allowance Method to account for uncollectible Accounts Receivable. If they determine that $900 of the balance owed by Matt Evans is uncollectible, the correct entry to write it off would be:

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Answer and Explanation:

The correct entry to write off is shown below:

Allowance for Doubtful Accounts $900

         To Accounts Receivables $900

(Being written off is recorded)

Here the allowance for doubtful accounts is debited as it increased the assets and the account receivable is credited as it decreased the assets. Also, the assets contains the normal debit balance

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