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Explain the difference between the energy of reaction and energy of activation.
Deduction
An amount that is allowed to be subtracted from gross income in order to reduce taxable income, thus lowering the overall tax liability.
Direct Write-Off Method
An accounting method where uncollectible accounts receivable are written off directly against income at the time they are deemed uncollectible.
Uncollectible Accounts
Financial debts deemed unrecoverable from debtors that are often written off as bad debt expense.
Matching Principle
An accounting principle that dictates expenses should be recorded in the same period as the revenues they helped to generate.
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