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some sales on an account become uncollectible and must be written off as bad debts. Given this possibility, why do companies extend credit to customers?

some sales on an account become uncollectible and must be written off as bad debts. Given this possibility, why do companies extend credit to customers? What if businesses did not extend credit? Would this be a good idea? How can a company determine whether the possibility of some bad debts is worth the risk? please cite sources

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