Debts that a firm is unable to recover are debited to bad debts account and credited to

  • A Suppliers account
  • B Sales account
  • C Customers account
  • D Cash account

The correct answer is A. Suppliers account

The entry to write off a bad debt account affects only balance sheet accounts: a debit to Allowance for Doubtful Accounts and a credit to Accounts Receivable.

Accounts receivable is money owed to a company by its debtors.

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