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Bad debts ( Company)

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(Querist)
27 August 2009 Dear sir

Pl let me know about the Bad Debts.is we need to make the provision for the bad debts, & what are the actions we need to take before accounting the receivables as bad debts. & is accounting standards specify any thing about it.

Thanking you

subramhanya H M
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CA CHINTAN AJMERA

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CA CHINTAN AJMERA (Expert)
27 August 2009 No Accounting Standared for that. and if account is over due more then credit period given by you then u make provision for bad debts based on your previous experience with the party.
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