which side bad debt provision will go debit side or credit side?
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Bad debt will go on credit side
amir43:
r u shure?
sure
yes because bad debts expenses will go on debit side.. and bad debts provision will go on credit side
okay thanks alot
ur most welcome
why it is not in liability side why it is an asset side? can you explain me?
It's an asset that represents the expectation to being paid in future .when you take out money to loan it to a client you take the amount from your cash and you face that exist with an asset ..acquired the loan
thanks for an explanation
ur most welcome
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