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In order to select the appropriate intervention, it is important to adhere to the following steps in this order:
Overdue Account
A financial account that has not been paid by its due date, thereby incurring late fees or other penalties.
Current Liabilities
Short-term financial obligations due within one year or within the entity's operating cycle, whichever is longer, necessary for the ongoing operations of the business.
Interest Expense
The charge an entity incurs for using borrowed capital over a set period.
Interest Payable
The amount of interest expense that has accumulated but has not been paid by the end of the accounting period.
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