ALLOWANCE FOR NOTES RECEIVABLE LOSSES Definition

Bookmark and Share

ALLOWANCE FOR NOTES RECEIVABLE LOSSES is an account maintained at a level considered adequate to provide for probable losses. The provision is increased by amounts charged to earnings and reduced by net charge-offs. The level of allowance is based on management's evaluation of the portfolio, which takes into account prevailing and anticipated business and economic conditions and the net realizable value of securities held.

Learn new Accounting Terms

COLLATERALIZE is to pledge property as security (collateral) for a debt.

SERVICE CHARGE is an additional charge for a service for which there is already a basic fee; also called service fee.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.