Accounting for Receivables and Bad Debt
This course presents the proper accounting for receivables surrounding uncollectible accounts and bad debt.
Description
This accounts receivable training covers the proper accounting for receivables and related issues surrounding uncollectible accounts/bad debts. A brief discussion of the direct write-off method will explain why the allowance method is the better approach. The subtle differences between the Balance Sheet approach vs. the Income Statement approach are presented. Additionally, simple interest on notes receivable are calculated and detailed examples are provided.
What You Will Learn!
- Define key terms regarding receivables and bad debts.
- Discover the sequence of events related to the three primary journal entries related to accounting for bad debts.
- Recognize the impact of accounting for bad debts on the related accounts.
- Discover how to calculate values used in the Allowance Method of accounting for bad debts.
- Discover how to calculate simple interest on notes receivable.
Who Should Attend!
- Anyone interested in finance, accounting or related fields.