When a business is unable to collect payment on goods and services that were sold on credit to its customers, it "writes off," or recognizes this loss on its books. The direct write-off of bad debt is ...

When a business takes a write-off, it is a deduction in the value of earnings by the amount of an expense or loss. When a business makes a sale or a deal with a client, with an understanding that the ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...