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Homework answers / question archive / Why are we not doing for depreciation and bad debt account reversing entries ?
Why are we not doing for depreciation and bad debt account reversing entries ?
Adjusting entries for depreciation, bad debts and other allowances will not be reversed because these are estimation instead of factual measurement for the expired cost. A reversing entry will not be for an adjustment entry that makes an adjustment on the unexpired costs to an asset account from an expense account. All deferrals for which the original cash transaction are debited or credited to an expense or revenue account can be reversed