Question: where does allowance for doubtful accounts go on trial balance?
Answer: The “allowance for receivables” is typically titled “Allowance for Doubtful Accounts” or “Allowance for Bad Debt” and has a credit balance and is considered a 'contra-asset' because this balance offsets the debit balance in “Accounts Receivable” where the net result is reported as “Accounts Receivable, net” in the ...