Question

is bad debt debit or credit balance?? how??​

Answer 1

yes it may take you at dept trap problem it was mainly held by farmer they want high loan from anywhere so they goes in this problem

Answer 2

 A company will debit bad debts expense and credit this allowance. The allowance for doubtful accounts is a contra-asset account within accounts receivable, which means that it reduces the loan receivable account when both balances are listed in the balance sheet.

Hope this answer will helps u..