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| Term of the Day | ||||
| charge off Accounts receivable that will likely remain uncollectable and will be written off. Charge offs appear as an expense on the company's income statement, thus reducing net income. In general, companies make an estimate of charge off expenses that might be incurred in the current time period based on past records as part of the process of estimating earnings. Most companies make a charge off ... | ||||
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| Usage Example Our accounts receivable department has utilized both written and oral communications to our customers resulting in an overall decrease in charge offs since the prior year. | ||||
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