Consider the following transactions associated with accounts receivable and the allowance for uncollectible accounts.

Required:
For each transaction, indicate whether it would increase (I), decrease (D), or have no effect (NE) on the account totals. (Hint: Make sure the accounting equation, Assets = Liabilities + Stockholders’ Equity, remains in balance after eachtransaction.)

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Credit Sales Transaction Cycle Stockholders' Assets Liabilities Equity Revenues Expenses Provide services on account 2. Estimate uncollectible accounts 3. Write off accounts as uncollectible 4. Collect on account previously written off