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Credit Sales
Sales made on credit, allowing the customer to pay at a later date, typically generating accounts receivable.
Credit Balance
A situation in an account where the total credits exceed the total debits, indicating a positive balance or amount owed to that account.
Bad Debt Expense
An expense recognized when a company determines that receivables cannot be collected.
Allowance for Doubtful Accounts
A contra-asset account that reduces total receivables to reflect the estimated uncollectible amounts.
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