ContentHow to Calculate Bad Debt Expense?How to Calculate the Percentage of Bad DebtThe Impacts of Bad Debts on BusinessPercent of Credit Sales / A/RHow Does the Unpaid Balance Method Work?GAAP Rules for the Percentage of Sales MethodTips to Reduce Your Cash Conversion Cycle To put the allowance method into practice, you must create an allowance for doubtful accounts. This is a contra-asset account,...