Full Disclosure Principle
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Replying to @ella🥟 in intro accounting class we learn that accounts receivable are reporter NET of the allowance for doubtful accounts on our balance sheet, but we havent actually removed that amount from accounts receivable. We are just estimating how much we *expect* will be uncollectible. We only reduce actual accounts receivable when we write off an account that actually *is* uncollectible! #accounting #study #explained #accountsreceivable #major
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