Answered: credit level report, receivable aging…

credit level report, receivable aging report, bad debt report, and customer profitability report. Explain the importance of each reports in the effective performance of the credit and/or collection.

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter9: Sales And Purchases

Section: Chapter Questions

Problem 2QY: What is the accounts receivable ledger? a. A record of credit customers and their balances b. A...

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Concept explainers

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.

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There are four reports used by the credit and collections department those are credit level report, receivable aging report, bad debt report, and customer profitability report.

Explain the importance of each reports in the effective performance of the credit and/or collection.

Definition Definition Receivable amount that a company is owed, but did not receive, and which may not be receivable in future.

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There are four reports used by the credit and collections department those are credit level report, receivable aging report, bad debt report, and customer profitability report. Explain the importance of those reports in the effective performance of the credit and/or collection. Discuss the benefits of the credit policy to (a) the credit department and (b) customers.
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