Gideon Company uses the direct write-off method of accounting for uncollectible accounts. On May 3, the Gideon Company wrote off the $2,000 uncollectible account of its customer, A. Hopkins. The entry or entries Gideon makes to record the write off of the account on May 3 is:
A.
| Bad Debts Expense | 2,000 | |
| Accounts Receivable-A. Hopkins | 2,000 |
B.
| Accounts Receivable-A. Hopkins | 2,000 | |
| Cash | 2,000 |
C.
| Cash | 2,000 | |
| Accounts Receivable-A. Hopkins | 2,000 |
D.
| Allowance for Doubtful Accounts | 2,000 | |
| Accounts Receivable-A. Hopkins | 2,000 |
E.
| Accounts Receivable-A. Hopkins | 2,000 | |
| Bad Debts Expense | 2,000 |
Answer: A
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