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What is flushing and how does it occur?
Allowance for Doubtful Accounts
An accounting method used to estimate the portion of a company's receivables that may not be collected, reducing the accounts receivable balance accordingly.
Uncollectible Accounts
Uncollectible accounts are receivables that a company deems uncollectable and likely will not be recovered, often written off as a bad debt expense.
Percent of Sales Method
A financial forecasting approach in which accounts are projected to increase as a percentage of the projected sales level.
Unadjusted Trial Balance
A list of all the accounts and their balances in a company's ledger before any adjusting entries are made for accounting purposes.
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