Question
Saras Sports Therapy, an accrual-method taxpayer, provides $30,000 worth of physical therapy services to the Sacramento Republic Soccer Club on credit in 2017. In 2018,
Saras Sports Therapy, an accrual-method taxpayer, provides $30,000 worth of physical therapy services to the Sacramento Republic Soccer Club on credit in 2017. In 2018, the Sacramento Republic Soccer Club dissolved its business operations before paying Saras any of the $30,000. The debt is wholly worthless in 2018.
What amount can Saras deduct for bad debt in 2018?
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Cost Accounting A Managerial Emphasis
Authors: Charles T. Horngren, Foster George, Srikand M. Datar, Maureen P. Gowing
5th Canadian Edition
0135004934, 978-0135004937
