👉 Debts are financial obligations that a person owes to someone else. They can be due from one party to another, such as a loan or credit card, or from a personal relationship, such as a debt owed by a spouse or a friend. Debts can arise in various situations, including: 1. Personal debts: These include loans and other financial obligations that are not paid on time. 2. Business debts: These include accounts receivable (a type of bill that someone owes to another
