Analysis of payables and receivables


2018-03-18 00:06:10




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When conducting non-cash settlements between enterprises, firms and organizations very often a situation arises when the necessary analysis of the accounts payable and accounts receivable. Before moving on to the methods of this analysis, you should understand by the concepts, which are characterized by these categories.

Accounts Receivable (DZ) is any form of debt, which can occur in one economic entity, including individuals, in relation to other actors. Her accounting and analysis is complicated by the fact that by nature of DZ is determined by a set of reasons.

Here are some of them:

is the product that is the subject for which the calculations are made between subjects of economic relations;

- the value of the market in which operate these businesses and organizations;

- the saturation level of this market those goods for which calculations are carried out;

- the specific form and calculation methods that are applied by these companies in the calculations.

In the ongoing monitoring of accounts receivable is to correctly and accurately measure its dynamics, that is, to determine how it changes during the reporting (or other, selected for analysis) period, tracking its structure and sources, to know specifically which economic actors she listed what her money amounts and date of occurrence.

At the same time, the utmost attention should be paid to such DZ as unnecessary and expired.

The undue, analysis of payables and receivables include:

- as a result of shortages, theft or embezzlement;

- debt Wxow of companies and enterprises, which are formed by violations of financial discipline;

- partners for debts unpaid, but they delivered the goods.

The debt, the maturity of which claims have already expired – written off on losses of the enterprise. Legislation such period shall be 3 years.

As other debt, includes several articles of commodity and non-commodity properties. These are:

calculations between business entities on scheduled payments;

- debts arising from the delay in reporting persons who received money under report;

- outstanding payments for the use or hiring of residential premises and public debt.

To optimize the values of DZ, the analysis of loans and receivables implies that especially should apply to the selection of potential customers of the company's products and establishing the most favorable for the company terms of payment supply of marketable products.


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As practice shows, the analysis of loans and receivables or held by a continuous method, or according to the method of sample analysis. In each case, the choice of method depends on the magnitude of the debt, characteristics of debtors and authenticity of the documents that they represent.

However, the most important in the analysis are the following indicators of DZ:

- the absolute, which reflects the debt on which maturity exceed three months;

is the turnover, which is calculated by the formula: O = V / DZ(SR), where: - revenues from products sold minus VAT, RS (CP) – the average value of receivables, On – value of turnover.

- period of repayment RS, which is defined as the quotient of the number of days in a year (assuming a 360) on the value of turnover (A).

As the most important indicator of the DMZ, should accept the axiomatic: the more the duration of the time delay RS, the lower the probability of repayment.

It is Therefore important in the analysis to pay attention to such parameter as short-term receivables, which is understood as the payments which consumers expect will come in the next 12 months. Here an important area of work for each company or organization is maintaining continual interaction with customers and monitoring their financial stability, which should be organized based on the study of various, mostly independent sources of information.

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Alin Trodden - author of the article, editor
"Hi, I'm Alin Trodden. I write texts, read books, and look for impressions. And I'm not bad at telling you about it. I am always happy to participate in interesting projects."

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