Hi Ram,
APP can't be use for Bad Debts. Usually, In Provision for Bad Debts, Customer Invoice line item is transferred to Special GL Indicator line item and Provision is created. This special GL Indicator is not configured to consider for APP run.
What is your exact requirement for Bad Debts?
- Do you want to post provision for Bad Debts? or
- Do you want to write off the customer balance from the books?
Thanks,
Deepanshu