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Allowance Method
An accounting technique used to estimate and account for potential uncollectible accounts receivable and bad debts.
Net Realizable Value
The projected selling price of items subtracted by their sales or disposal expenses.
Accounts Receivable
Outstanding payments from customers to a company for goods or services already delivered but not yet compensated for.
Bank Reconciliation
The process of comparing and matching figures from the accounting records against those presented on a bank statement to ensure they are in agreement and accurate.
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