Purchase Solution

Allowance Method of Accounting

Not what you're looking for?

Ask Custom Question

What are the essential features of the allowance method of accounting for bad debts?

Purchase this Solution

Solution Summary

This solution discusses the allowance method of accounting and how bad debts are treated in 441 words with one APA reference. This solution is also formatted in an attached Word document.

Solution Preview

The response addresses the queries posted in 441 words with references.

// The principle of accounting incorporates numerous methods. One of the most popular methods of accounting is 'Allowance Method'. To have more understanding on it, I will describe its essential features in relation to the bad debts in the following manner: //

Allowance Method

1. Allowance method of accounting for bad debts is defined as a method of calculating accounts which are uncollectible during specified period of time or at the end of the each period of financial year. Basically, the main purpose of estimating is to find out that uncollectible amount matched to the gross receipts (Hermanson & Edwards). The essential features of allowance method of accounting bad debts ...

Solution provided by:
Education
  • MBA (IP), International Center for Internationa Business
  • BBA, University of Rajasthan
Recent Feedback
  • "Thank You so much! "
  • "Always provide great help, I highly recommend Mr. Sharma over others, thanks again. "
  • "great job. I will need another help from you. "
  • "first class!"
  • "Thank you for your great notes. Will you be willing to help me with one more assignment? "
Purchase this Solution


Free BrainMass Quizzes
Paradigms and Frameworks of Management Research

This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.

Cost Concepts: Analyzing Costs in Managerial Accounting

This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.

Writing Business Plans

This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.

Social Media: Pinterest

This quiz introduces basic concepts of Pinterest social media

Situational Leadership

This quiz will help you better understand Situational Leadership and its theories.