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A company uses the aging of accounts receivable method to estimate its bad debts expense. On December 31 of the current year an aging analysis of accounts receivable revealed the following:
Malignancies
The presence of cancerous cells that have the ability to invade and destroy healthy tissue.
Negative Tendency
The inclination towards pessimistic or adverse thoughts, attitudes, or outcomes.
Adaptive Tendency
The innate or learned ability to change or adjust one's behavior or thinking in response to changing circumstances or environments.
Neuroses
A mental health condition characterized by emotional distress but not by gross distortion of reality.
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