Small businesses use an accounts receivable reserve to cover bad debts and a bad debt provision to record them in their books.

Bad Debts A business that records transactions and works with many customers through accounts receivable may show an allowance for bad debts or an allowance for doubtful accounts as a provision on ...

What determines the deductibility of bad debts is the accounting method that a small business uses. Generally, service providers such as auto mechanics, personal trainers and dentists use what's ...

A new accounting standard for hospitals reporting bad debt will have both negative and positive effects, according to a report from Fitch Ratings.