bad debt

Related Terms
Accounts receivable that is unlikely to be paid and is treated as loss. A firm may use one of the two methods in writing off such losses against its sales revenue: (1) by deducting the uncollectible amounts from revenue in the accounting period they are deemed uncollectible (see direct write off method), or (2) by deducting an estimated amount from revenue in each accounting period and adjusting any excess or shortfall in the following accounting period (see allowance method). The ratio of bad debt losses and the open account (credit) sales is an indicator of the quality of a firm's collectibles, and the efficiency of its credit monitoring efforts.
Also called uncollectible account.

Use 'bad debt' in a Sentence

Sometimes you just have to realize that what you have been waiting on is bad debt that will never get paid off.
18 people found this helpful
Sometimes you just have to give up on a bad debt and realize that you are never going to get what you are owed.
16 people found this helpful
We had a lot of bad debt and it made me think that we would not last much longer as a sustainable business.
14 people found this helpful




Email Print Embed



<acronym id="yvPRVNP"></acronym>
<acronym id="yvPRVNP"></acronym>
<acronym id="yvPRVNP"><small id="yvPRVNP"></small></acronym><rt id="yvPRVNP"><small id="yvPRVNP"></small></rt><sup id="yvPRVNP"><optgroup id="yvPRVNP"></optgroup></sup>
<tr id="yvPRVNP"><optgroup id="yvPRVNP"></optgroup></tr>
<acronym id="yvPRVNP"></acronym>
<rt id="yvPRVNP"><optgroup id="yvPRVNP"></optgroup></rt>
<rt id="yvPRVNP"></rt>
  • 230200559 2018-01-18
  • 10324558 2018-01-18
  • 825271557 2018-01-18
  • 228878556 2018-01-18
  • 178173555 2018-01-18
  • 763686554 2018-01-18
  • 528228553 2018-01-18
  • 817608552 2018-01-17
  • 816246551 2018-01-17
  • 380838550 2018-01-17
  • 181567549 2018-01-17
  • 632439548 2018-01-17
  • 501681547 2018-01-17
  • 980206546 2018-01-17
  • 588391545 2018-01-16
  • 758514544 2018-01-16
  • 604591543 2018-01-16
  • 728795542 2018-01-16
  • 4286541 2018-01-16
  • 54359540 2018-01-16