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what is the difference between provision for bad debts and
reserve for bad debts?
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Answer Posted / sanjog bajaj
ALWAYS GIVE SIMPLE ANSWERS.
PROVISIONS-ARE KEPT A SIDE TO MEET ANY CONTINGENCY IN FUTURE.
RESERVES-ARE A PROFIT CALLED UP AT THE TIME OF LIQUIDATIONS
IF ASSETS HELD ARE NOT SUFFICIENT TO MEET THE LIABILITIES.
| Is This Answer Correct ? | 6 Yes | 5 No |
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