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The homeowner has paid $12,000 to the bank in interest to get less than a fourth of that amount excluded from taxation. Spending $12,000 to reduce the amount of money you will pay in taxes by $2,880 simply makes no sense. Worse yet, an honest assessment of the actual bottom-line ...
If your business has a bad debt expense, learn how to deal with these expenses using the direct write-off method and the allowance method.
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