dude7707
Level 5

So since the Income was reported in 2022 and now they have w/off to Bad Debt to clear the clearing account (A/R), which would be the correct method in reclassing the Bad Debt expense in 2022?

1.  Dr Income - Orginally reported to.

         Cr.  Bad Debt

Or

2.  Leave as is Bad Debt.

 

 

 

 

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