You write off your uncollectable accounts by establishing a bad debt expense account and an allowance for doubtful accounts. These accounts include the dollar amount of uncollectable accounts you ...

The allowance method is the means by which companies are able to better anticipate and prepare for the loss that will occur from customer accounts that will be uncollectible in the future. Unlike the ...

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 ...