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LSDefine

Simple English definitions for legal terms

A quick definition of bad-debt loss ratio:

Bad-Debt Loss Ratio: The bad-debt loss ratio is a measure of how much money a business cannot collect from its customers compared to the total amount of money owed to the business. It helps businesses understand how much money they are losing due to customers not paying their bills.

A more thorough explanation:

Definition: The bad-debt loss ratio is a financial metric that measures the percentage of uncollectible debt to a business's total receivables. It is calculated by dividing the amount of bad debt by the total amount of accounts receivable.

Example: Let's say a company has $100,000 in accounts receivable, but $5,000 of that is considered bad debt that is unlikely to be collected. The bad-debt loss ratio would be 5%, calculated as follows:

Bad-Debt Loss Ratio = (Bad Debt / Total Accounts Receivable) x 100%

Bad-Debt Loss Ratio = ($5,000 / $100,000) x 100%

Bad-Debt Loss Ratio = 5%

This means that for every dollar the company is owed, it can expect to lose 5 cents due to bad debt.

Explanation: The bad-debt loss ratio is an important metric for businesses to track because it helps them understand how much of their accounts receivable they are likely to collect. A high bad-debt loss ratio can indicate that a company needs to improve its credit policies or collection procedures. On the other hand, a low bad-debt loss ratio can indicate that a company has effective credit policies and collection procedures in place.

bad-conduct discharge | bad-debt reserve

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22:25
then someone was like "what does jm stand for" and i was like .. well
AHHAHAHAHAHAHHAHAHAHAHAHAH
@JumpySubsequentDolphin: wait this is so cute, also where r u going
JOE MBIDEN
JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
soyalmondoatmilk
8:38
good morning! hoping waves will come our wave today
8:42
GW wave today?
8:57
There’s someone I found on here with the username threeoutchange and if my understanding is correct that’s a reference to the debut album by a pretty cool 90s-00s Japanese band called Supercar. I geeked a little
8:57
It could just be a baseball reference I don’t get though lol
Dkk
9:00
@renard99: also, the same band that does a song in the anime Eureka 7 which I watched when I was like idk, 12
9:00
Yeah! They are pretty good. Three Out Change is an awesome J-rock record
Dkk
9:01
I will probably not listen to them more but fun fact. Really random to start the day. An omen that the waves will be very random today.
Dkk
9:03
Fuck, reading the wikipedia now. Literal last song they did before they broke up was Storywriter. Wow.
9:05
That one is a masterpiece
9:05
My favorite song by them is Recreation
glovediedthisishismom
9:05
snowing
Dkk
9:07
@renard99: man, hard to find.
Dkk
9:07
@glovediedthisishismom: Congrats on the snow.
Dkk
9:16
@renard99: Poetic and nice.
9:42
My name is renard99 and I just sent @babycat feet pics
glovediedthisishismom
9:42
nobody is at the office today they should let little glovey go home and watch harry potter
Dkk
9:49
Lmfao, Gross
Dkk
9:49
@glovediedthisishismom: Watch it at the office!
Dkk
9:50
Proton vpn and https://en.solarmovie-official.lol/
let little glovey go home!
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