Question: 2. When using the allowance method, as bad debt expense is recorded, a. Total assets remain the same and owners equity remains the same. b.

2. When using the allowance method, as bad debt expense is recorded,

a. Total assets remain the same and owners’ equity remains the same.

b. Total assets decrease and owners’ equity decreases.

c. Total assets increase and owners’ equity decreases.

d. Total liabilities increase and owners’ equity decreases.

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