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When the processor needs an instruction or data, it searches memory in this order: L1 cache, then L2 cache, then L3 cache (if it exists), then RAM - with a greater delay in processing for each level it must search.
Bad Debt Expense
An estimated expense that represents the amount of receivables that a company does not expect to collect due to customers' inability to pay.
Credit Balance
This occurs when the total credits in an account exceed the total debits, often indicating money owed to a customer or client.
Adjusting Entry
An amended bookkeeping entry made to rectify or allocate transactions to the appropriate accounting period or ensure that revenues and expenses are recorded in the period they occur.
Doubtful Accounts
Accounts receivable that a company believes might not be collected due to credit risk.
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