Financial Accounting | Accounting of Bad Debt and Provisions by CA Raj K Agrawal | CMA 2022 Syllabus

Topics discussed in the video:
13:27 - Bad debts and provision for doubtful debts

A provision for bad debts is the probable loss or expenses of the immediate future. But the accountant is unsure when or how much the loss/expenses may occur. A provision for bad debts is the different from the bad debts where the loss or expenses is certain. But in this case all assume according to past records of the business. As provision for bad debts is the future loss which will be recorded when it incurs.

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