- Joined
- Mar 25, 2007
- Messages
- 90
All companies will waive all or parts of bills pretty frequently. I did the books for a bank for a few years, and even that of all places writes off bad accounts due them. After a while, a company is obligated to waive the bill under good accounting practice, because they cannot credibly claim that sale if it isn't likely that they'll be getting the money any time soon if at all. The idea that they'd go bankrupt if they did that all the time is largely a paper argument. In a free enterprise business, the company learns to not even enter negotiations with such risky clients. But utilities, as we've already discussed, are not free enterprise businesses. They can't deny someone who wants to start using their services, because we've already established that it is not the power company's asset to give and deny as they wish. For that, the state government protects them from both competition and bankruptcy. I would imagine that a utility company's accounts receivable writeoffs are staggeringly high because of that. And that's fine.
The power company will write off the money this family owes them, plus the 10k they gave to pay for her funeral, plus the money they will pay for her death. In the end, they should have kept the power on. With the money they'll lose now, they could have written off everyone in the last year with free electricity. Sometimes doing the right thing is truly the right thing.
The idea that she had a bill has little to do with the argument of whether the power should have been left on or shut off, however. It could have very well stayed on or off independent on what the bill did or did not do.
The fam was actively trying to pay this bill down. The bill was decreasing. They should have kept the bill and kept the power on. They chose incorrectly from a business standpoint as well as from a human standpoint. And they will pay for that in the end.
The power company will write off the money this family owes them, plus the 10k they gave to pay for her funeral, plus the money they will pay for her death. In the end, they should have kept the power on. With the money they'll lose now, they could have written off everyone in the last year with free electricity. Sometimes doing the right thing is truly the right thing.
The idea that she had a bill has little to do with the argument of whether the power should have been left on or shut off, however. It could have very well stayed on or off independent on what the bill did or did not do.
The fam was actively trying to pay this bill down. The bill was decreasing. They should have kept the bill and kept the power on. They chose incorrectly from a business standpoint as well as from a human standpoint. And they will pay for that in the end.
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