If the credit balance of the Allowance for Doubtful Accounts account exceeds the amount of a bad debt being written off, the entry to record the write-off against the allowance account results in:
A. A reduction in current assets.
B. A reduction in equity.
C. An increase in the expenses of the current period.
D. A reduction in current liabilities.
E. No effect on the expenses of the current period.
Answer: E
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