Calculating estimates of the collectibility of accounts receivable and auditing those estimates is difficult. This article describes three techniques for assessing allowance for doubtful accounts ...

Bad debt expense is the loss from doing business with customers who are later unable to pay for the services or goods they received. The expense is booked to the general ledger once all credit and ...

Even the most cautious businesses will sometimes sell products or services to deadbeats. Since it is impossible to identify accurately all bad apples in advance, generally accepted accounting ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

The calculation of eligible costs by credit card companies is scheduled for the second half of this year. Eligible costs are expenses that determine the merchant fee rates of card companies, ...

Contra accounts adjust asset values, like equipment depreciation reducing fixed assets. Increased allowance for doubtful accounts may signal rising uncollectable receivables. Companies use contra ...