Bad Debt Expense is Reported On The Income Statement As
Bad Debt Expense is reported on the Income Statement (Profit And Loss Account) as an indirect expense categorized under operating expenses sectio n as a Selling and General and Administrative Expense. The Accounting Journal Entry for bad debt expense is shown below: Bad Debt Expense a/c XXX Accounts Receivable a/c XXX (Bad Debt Expense Actually Incurred On Accounts Receivable) It is actual bad debt expense that is confirmed as it has been incurred by the business but it may be recovered in fu...