Question: Creating an allowance for doubtful accounts on the balance sheet has the effect of a. Reducing the amount of a businesss current assets. b. Increasing

Creating an allowance for doubtful accounts on the balance sheet has the effect of 

a. Reducing the amount of a business’s current assets. 

b. Increasing the amount of a business’s current assets.

c. Reducing the amount of a business’s current liabilities.

d. Increasing the amount of a business’s current liabilities.

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