usually refers to accounts receivable that will not be collected.

Debtors

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Bad debts

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Provision for debts

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Discount

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Solution

The correct option is B Bad debts
Bad debts usually refers to accounts receivable that will not be collected. it is a loss for a business entity.

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Similar questions

The term ______ usually refers to accounts receivable that will not be collected.

R s . 1, 20, 000

R s . 2, 15, 000

R s . 2, 36, 000

Rectify the following errors assuming that suspense account was opened. Ascertain the difference in trial balance.

(i) Depreciation provided on machinery Rs. 4,000 was not posted to depreciation account.

(ii) Bad debts written-off Rs. 5,000 were not posted to debtor's account.

(iii) Discount allowed to a debtor Rs. 100 on receiving cash from him was not posted to discount allowed account.

(iv) Goods withdrawn by proprietor for personal use Rs. 800 were not posted to drawings account.

(v) Bills receivable for Rs. 2,000 received from a debtor was not posted to bills receivable account.

Resources owned by a company (such as cash, accounts receivable, vehicles) are referred to as:

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