Question: When the allowance method of recognizing bad debt expense is used, the entries at the time of collection of a small account previously written off

When the allowance method of recognizing bad debt expense is used, the entries at the time of collection of a small account previously written off would

Have no effect on the allowance for doubtful accounts.

Increase net income.

Increase the allowance for doubtful accounts.

Decrease the allowance for doubtful accounts.

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