Question

What 2 accounts are affected when payment from bankruptcy is actually collected?

Answer 1

When payment from bankruptcy is collected, the Accounts Receivable and Bank accounts are affected.

Step-by-step explanation:

When payment from bankruptcy is collected, two accounts that are affected are the Accounts Receivable and the Bank accounts.

The Accounts Receivable account represents the amount owed to a company by its debtors or customers. When payment is collected, this account decreases.

The Bank account represents the company's cash holdings. When payment is collected, the Bank account increases.