ONovember 15 , 2002 , Leskowich Iconcluded that a customer’s $4400 account receivable was uncollectible and that the account should be writteoff. What effect will this write-off have oLeskowich’s 2002 net income and bala nce sheet totals assuming the allowance method is used to account for bad debts ( )
· Decrease inet income ; no effect ototal assets.
· No effect onet income or ototal assets.
· Decrease inet income; decrease itotal assets.
· Increase inet income; no effect ototal assets.