Examlex
Define and give examples of the four characteristics of services: intangibility, inseparability, variability, and perishability.
Bad Debts
Amounts owed to a company that are not expected to be paid, often resulting from credit sales to customers who are unable to fulfill their financial obligations.
Inventory Reserve
A provision for unsellable inventory, reflecting a decrease in the value of inventory assets.
Bad Debt Expense
The cost associated with accounts receivable that a company does not expect to collect because customers default on their payments.
Allowance for Doubtful Accounts
A contra asset account used to estimate the portion of a company's accounts receivable that may not be collectible.
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