Financial Accounting

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Balance Sheet: Allowance For Doubtful Accounts Account

FINACT-7BF1$D

Most companies prepare a classified Balance Sheet at each year-end where Current Assets, Non-current Assets, Current Liabilities and Long-term Liabilities are reported separately from one another.

The Allowance for Doubtful Accounts is a

account with a “normal”

balance located in the

section of a classified Balance Sheet.