Accounts Receivable Negotiated Debt Forgiveness Policy

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Use this policy to protect receivable investments and all distributions in place of payments related to formal or informal creditor agreements.

During this process, if assets other than cash are received in full satisfaction of the receivable, the assets received should be recorded at their fair values. The excess of the receivable balance over the fair value of the assets received should be recorded as a loss. Future proceeds, whether dividends or from the disposition of the asset, will be credited to other income or the investment account as appropriate.

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