Answer:
When it is said that accounts receivables are uncollectible, it means that the company does not expect some of its accounts receivables to pay them back for the goods that the accounts receivables purchased on credit.
Uncollectible account receivables therefore reduce the accounts receivables account.
Entry will be:
Date Accounts Description Debit Credit
xx-xx-xxxx Noncollectible accounts expense $5,670
Accounts Receivables $5,670
The uncollectibles are an expense and expenses are debited when they increase.
The accounts receivables are reducing and assets are credited when they reduce in value so it will be credited.
