Accounts receivable is a legally enforceable claim for payment from a business to its customer/clients for goods supplied and/or services rendered in execution of the customer’s order. These are generally in the form of invoices raised by a business and delivered to the customer for payment within an agreed time frame. Accounts receivable is shown in a balance sheet as an asset. It is one of a series of accounting transactions dealing with the billing of a customer for goods and services that the
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Accounting for Receivables Definition Receivables are amounts due from other persons or entities. Receivables are highly liquid‚ which means it is expected that they will be converted into cash quickly‚ and are classified as current assets. Types of Receivables Accounts Receivable: amounts due from customers for sales on credit. Businesses sell to customers on credit in an attempt to increase their sales. Also called Trade Debtors. Bills Receivable: similar to accounts receivable but bills receivable
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Accounts Receivable: There are several controls in accounts receivable. A thorough audit should be daily comparing the checklist and the system records in customers’ accounts. This is to ensure the payment received is applied to the right customer. A second control is to check if customers’ balances in record are true. One simple way is to send current statements to customers monthly. Customers can help identify if there is any discrepancy between their record and the account statement. A
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debit/credit system‚ website‚ and accounts receivable system. The debit/credit system and the website are already automated while the accounts receivable system is currently manual. The debit/credit system records all the expenses of the company‚ may it be capitalization expense or daily operating expense. It also records the sales from the job orders. The website simply advertises the company’s sold units and shows the company site map. The accounts receivable system holds the schedule of payment
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Evaluation of the Effectiveness of Accounting Information Systems International Journal of Information Science & Technology‚ Volume 6‚ Number 2 July / December‚ 2008 49 International Journal of Information Science and Technology EVALUATION OF THE EFFECTIVENESS OF ACCOUNTING INFORMATION SYSTEMS H. Sajady‚ Ph.D. M. Dastgir‚ Ph.D. Department of Economics and Social Sciences Department of Economics and Social Sciences Shahid Chamran University Shahid Chamran University Ahvaz‚ I. R. of Iran
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and list of customers‚ the ACL software was used to compute and determine the Accounts Receivable balances of customers in the books. January 20‚ 2005 United City 920 4 th Street Bridgewater‚ New Jersey 8807 Dear Sir/Madam‚ In connection with an examination of our financial statements by Ross & Specter Co.‚ Certified Public Accountants‚ 8th Avenue‚ Manhattan‚ New York (NY) 10014‚ we will appreciate it if you will indicate the
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How Would You Describe Yourself? I am punctual‚ dependable and can be counted upon to finish what I start. I get a great deal of satisfaction from knowing that I have done something well and on time. For example‚ at my present job‚ I was given different work orders every day. It was my responsibility to finish the orders and make sure they all met quality and safety standards within a specific deadline. On occasion‚ I had to familiarize myself with the product and the production process. I was
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chapter 1 accounting information systems: An overview Suggested Answers to Discussion Questions 1.1 The value of information is the difference between the benefits realized from using that information and the costs of producing it. Would you‚ or any organization‚ ever produce information if its expected costs exceeded its benefits? If so‚ provide some examples. If not‚ why not? Most organizations produce information only if its value exceeds its cost. However‚ there are two situations
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AN EVALUATION OF ACCOUNTS RECEIVABLE MANAGEMENT BY MANUFACTURING FIRMS IN NAKURU MUNICIPALITY [pic] RESEARCH PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF THE DEGREE IN BACHELOR OF COMMERCE (ACCOUNTING OPTION) SCHOOL OF BUSINESS KABARAK UNIVERSITY APRIL 2008 DECLARATION This research project is our original work and has not been presented for the award of any diploma or degree in any other university or college or any other institution of higher learning. Signature______________________________
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REPORT ON ACCOUNT RECEIVABLE MANAGEMENT TATA STEEL Prepared by www.AssignmentPoint.com Date: 21-05-202 EXECUTIVE SUMMARY The project deals in “account receivable management at Tata Steel”. Receivable management is one of the most important aspects of the organization‚ as it deals with the management of the outstanding. The profit of the company mainly depends on the accounts receivables. Therefore it needs a careful analysis and proper management. Debtors occupy an important
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