Bad debt is expense to reduce the amount of accounts receivable not recoverable from customers.
Neither, a bad debt becomes an expense on the P&L. the provision created against this is liability
Provision for doubtful debt is current asset which is created as a reduction in accounts receivable balance and which is adjusted at actual bad debt.
credit the account receivable and debit the bad debt expense.
you smell
Uncollectible Accounts Expense.
A bad debt is a expense which affects the owners equity as it is charged against the profit and loss account and it decreases the profit of the business.
Neither, a bad debt becomes an expense on the P&L. the provision created against this is liability
Provision for doubtful debt is current asset which is created as a reduction in accounts receivable balance and which is adjusted at actual bad debt.
According to The Entrepreneur's Guide to Writing Business Plans and Proposals that can be found in google books, bad debt expense is a variable expense because the amount of bad debt depends on the amount of sales.
credit the account receivable and debit the bad debt expense.
you smell
Yes.
Admin expense
Uncollectible Accounts Expense.
No, bad debt is an expense and is reflected on the P&L Statement.
Debit to bad debt expense, credit to allowance for doubtful accounts. The figure would be your yearly estimate.
yes