The Amazon River Flows Backwards, And Now Scientists Have Figured Out Why. ESA. The shape of the Amazon Basinm mapped here using satellite altimeters is a relatively recent feature of the Earth. The Amazon once flowed in the opposite direction, from east to west. Reversing the direction of the Earth's largest river is no trivial thing, and geologists have pondered the cause for some time. In Earth and Planetary Science Letters The University of Sao Paulo's Dr Victor Sacek has demonstrated that nothing more than erosion is needed to explain this enormous shift.
An allowance for bad debt, also known as an allowance for doubtful accounts, is a valuation account used to estimate the portion of a bank's loan portfolio that may ultimately be uncollectible. When a borrower defaults on a loan, the allowance for bad debt account and the loan receivable balance are both reduced for the book value of the loan, or the outstanding loan balance.
If a firm has made a sufficient provision in its allowance for doubtful accounts, reported earnings will not be penalized by bad debts when the bad debts occur. If uncollectible accounts are larger than expected, however, the firm will have to increase the size of the account and reduce reported income. Also called allowance for bad debts, reserve for bad debts. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, or visit the webmaster's page for free fun content.