A provision is an expenditure relating to a particular accounting period, but not falling due on the date of financial statements. Since the expenditure relates to a particular financial period, a ...

The average company writes off about 4 percent of accounts receivable as bad debt. Furthermore, about 26 percent of invoices that are not paid within three months are uncollectable. No matter your ...

Small businesses that issue invoices or credits to customers must keep accurate records of their accounts receivable amounts. These amounts are future income on which the business relies to continue ...

Gift 5 articles to anyone you choose each month when you subscribe. Banks are struggling to assess a new accounting standard that could increase the level of provisions for bad and doubtful debts and ...

Daniel Liberto is a journalist with over 10 years of experience working with publications such as the Financial Times, The Independent, and Investors Chronicle. Thomas J. Brock is a CFA and CPA with ...