Briefly explain the difference between the income statement approach and the balance sheet approach to estimating bad

Question:

Briefly explain the difference between the income statement approach and the balance sheet approach to estimating bad debts.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...