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Childbirth is called:
Allowance for Doubtful Accounts
This is a contra account that reduces accounts receivable to reflect the estimated amount of debts that may not be collected.
Accounts Receivable
Financial obligations of customers to a firm for delivered or utilized goods or services that remain unpaid.
Direct Write-off Method
An accounting method where uncollectible accounts receivable are directly written off against income at the time they are deemed uncollectible.
Uncollectible Receivables
Amounts owed to a company that it does not expect to collect and thus considers a loss.
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