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There are two basic ways to estimate uncollectibles-the direct write off method and the allowance method.
Financial Intermediaries
Institutions that facilitate the channeling of funds between lenders and borrowers.
Financial Assets
Instruments that hold monetary value, such as stocks, bonds, or bank deposits, which can be traded in financial markets.
Term
Refers to a specific period of time or to conditions stipulated for a particular agreement or contract.
Interest Rate
The price, shown in the form of a percentage of the principal, charged by lenders to borrowers for asset employment.
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