Where Llamas Live. The native habitat of llamas and guanacos is the cold and dry Andes Mountains region of South America, including parts of Argentina, Bolivia, Chile, Ecuador, and Peru. The sure-footed llamas run easily over the rugged mountaintops at elevations as high as 13,000 feet.
DEFINITION of 'Allowance For Doubtful Accounts'. A contra-asset account that records the portion of a company's receivables, which it expects may not be collected. The allowance for doubtful accounts is only an estimate of the amount of accounts receivable which are expected to not be paid.or example, the company may identify that it expects 4% of its sales to become bad debt, and thus it will adjust the allowance for doubtful accounts each quarter to ensure that this expected loss is reflected on the company's financial statements.
4. Adjust the balance of the allowance account as necessary. If the company above records another $10,000 in service revenue, another journal entry is needed to increase the allowance account. The company debits Bad Debts Expense for $200 and credits Allowance for Doubtful Accounts for $200.ccounting for doubtful debts presupposes credit sales, so begin by recording the sale in the general journal. For example, consider a company that renders $2000 of services to a customer on credit. To record the journal entry, the company debits Accounts Receivable for $2000 and credits Service Revenue for $2000.