TAILIEUCHUNG - Lecture Principles of Accounting: A focus on analysis and interpretation (8th edition): Chapter 7 - Hillman, Kochanek, Barsky

Chapter 7 - Accounts receivable and bad debts expense. This chapter presents the following content: Receivables on balance sheet, bad debts expense, recording bad debts adjustment, balance sheet presentation, writing off uncollectible accounts, balance sheet, recovery of bad debts,. | Accounts Receivable and Bad Debts Expense Receivables on Balance Sheet Trade receivables Arise from sale of goods or services to customers Nontrade receivables Arise from other sources Bad Debts Expense An account receivable that proves uncollectible Accrual accounting requires that we recognize the bad debts expense in the same period as the sales revenue Since we may not know at end of period which accounts will be uncollectible, we must estimate the amount Use allowance method Recording Bad Debts Adjustment Estimate and record amount in an end-of-period adjustment Estimate uncollectible amount Record increase in expense and decrease in accounts receivable Since specific uncollectible account not known, use contra account Allowance for Doubtful Accounts Balance Sheet Presentation Current assets Cash $1,000 Accounts receivable $8,000 Deduct: Allow for DA 500 7,500 Notes receivable 900 Writing Off Uncollectible Accounts After determining a specific account is uncollectible Decrease .

• Kế toán - Kiểm toán
• Principles of accounting
• Accounting information
• Lecture Principles of Accounting
• Accounts receivable
• Bad debts expense
• Balance sheet
• Accounting principles
• Fundamental accounting principles
• Lecture Fundamental accounting principles
• Accounting information systems
• Fundamental system principles
• Technology based accounting systems
• Financial accounting
• Managerial accounting
• Managerial cost
• Reporting manufacturing activities
• Merchandising operations
• Accounting cycle
• Completing the accounting cycle
• Classified balance sheet
• Accounting for partnerships
• Partnership form of organization
• Basic partnership accounting