Question

bad and doubtful debt examples​

Answer 1

Answer:

Bad debts could arise for a number of reasons such as customer going bankrupt, trade dispute or fraud. Every time an entity realizes that it unlikely to recover its debt from a receivable, it must 'write off' the bad debt from its books.

example :- ram borrowed money from shyam for 3 month period return agreement . but ram fail to pay the money to shyam and ramdon't give money to shyam

following is the example of bad debts

Explanation:

hope this answer will help you