Asked by Baddie Curtis Brown on May 05, 2024

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​An example of a bad debt ____________ would be if a patient owes the office $200 and the patient dies unexpectedly,leaving the remaining balance of $200 uncollectible.

A) ​write-down
B) ​write-off
C) ​non-collection
D) ​forgiveness

Bad Debt

Money that has been lent or credited but is unlikely to be repaid and is therefore considered a loss.

Write-off

An accounting practice where the value of an asset is reduced to zero, reflecting its irrecoverability.

Write-down

An accounting term referring to the reduction in the book value of assets when their fair market value has fallen below the previously recorded cost.

  • Understand the concept and necessity of bad debt management within medical practices.
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YA
Yohannes AlemnehMay 05, 2024
Final Answer :
B
Explanation :
A bad debt write-off occurs when a receivable amount is deemed uncollectible, such as when a patient dies and cannot pay the owed amount.