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Balance Sheet Approach
A method of estimating an organization's value based on the assets, liabilities, and equity recorded in its balance sheet.
Allowance for Doubtful Accounts
A contra asset account used to estimate the amount of receivables that may not be collectible.
Accounts Receivable
Due amounts from clients to a company pertaining to goods or services delivered but payment not received.
Bad Debts Expense
An estimated expense that reports the cost of accounts receivable that a company does not expect to collect.
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