Examlex
According to SCOTUS's decision in Whren v. U.S, concerning the use of a pretext stop in a drug search:
Allowance for Doubtful Accounts
A contra-account reducing accounts receivable to reflect the estimated portion that may not be collected.
Uncollectibles
Debts owed to a company that are considered unlikely to be paid and are therefore written off as a loss.
Income Statement Approach
A method to prepare the bad debt expense by estimating uncollectible accounts at the end of each period based on expected losses.
Accounts Receivable
Represents the money owed to a company by its customers for goods or services delivered on credit.
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