MYBREAKEVEN • Published November 7, 2026

Bad Debt Expense: Provision, Write-Off and Recovery — working record

Original fictional USD case. This worksheet does not automatically calculate. Edit the blank cells, then print or save your completed copy before closing. Fields are not uploaded or saved by this page.

Completed teaching case

Reconciled case from the guide
Stage	Gross AR	Allowance	Net AR	Cash movement
Opening balances	25,000	1,500 credit	23,500	0
Record 900 provision	25,000	2,400 credit	22,600	0
Write off 1,200	23,800	1,200 credit	22,600	0
Reinstate recovered 300	24,100	1,500 credit	22,600	0
Collect recovered 300	23,800	1,500 credit	22,300	+300

Your evidence and assumptions

Business / preparerReporting date or horizonCurrency / accounting basisEvidence referencesReviewer / next review date

Your working record — replace each cell
Event / customer / reference	Debit account / amount	Credit account / amount	Gross / allowance / net effect	Cash / approval / reviewer
Enter record 1	Enter value	Enter value	Enter value	Enter value
Enter record 2	Enter value	Enter value	Enter value	Enter value
Enter record 3	Enter value	Enter value	Enter value	Enter value
Enter record 4	Enter value	Enter value	Enter value	Enter value
Enter record 5	Enter value	Enter value	Enter value	Enter value

Reconciliation / independent calculationUnresolved issue, action owner, deadline and stop / escalation condition

Check amounts, dates, scope and source documents independently. Planning education; not accounting, legal, tax or lending advice.

Read the full method and limitations