Auditing And Accounting

This blog is dedicated to describe normal accounting Public : auditing practices

#27 Classification of Bad Debt Expense

Should the bad debt expense be net off from the gross profit? or should it be classified in other operating expense?

The answer is: bad debt expense should be classified as General & Administrative Expense in Profit & Loss.
Labels: Auditing- Bad Debt
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      • #29- Review of Legal Expenses
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