What is meant by bad debt, doubtful debt and provision for doubtful bad debt?
submitted by Mohammed minhaj

deepthi sri

bad debt-when seller made credit sales he becomes creditor .creditor doesnt received cash for his credit sales after a reasonable trail . he incurred bad debt -a loss for creditor
doubtful debts-if creditor doubting that he cannot get cash for his credit sales
pdb-for such doubtfull debts he creates a provision
provision is just like aone reserve

Muhire pheneas

Bad debt is debtor who is total refuse to pay his or her debt
doubtful bent is debtor who is refuse to pay at right time but final pay his or her debt
Provision for doubtful bad bebt is estimated amaunt that we will not collected from our debtor due to different situations .