应收账款治理外文文献应收账款治理外文文献翻译.docx

1、应收账款治理外文文献应收账款治理外文文献翻译应收账款治理外文文献 应收账款治理外文文献翻译 毕业设计外文资料翻译 学 院： 电气工程学院 专 业： 电气工程及其自动化 姓 名： 学 号： 外文出处： Engineering Applications of Artificial (用外文写) Intelligence 26(2021)184文献出处：Oncioiu I. Small and Medium Enterprises Access to FinancingA European Concern: Evidence from Romanian SME J. Interna文献出处:Dask

2、alakis N, Jarvis R, Schizas E. Financing practices and preferences for micro and small firmsJ. Journal of Small Bu文献出处：Kontu E. MANAGEMENT OF ACCOUNTS RECEIVABLE IN A COMPANYJ. Ekonomska misao i praksa, 2021 (1): 21-38.原文MANAGEMENT OF ACCOUNTS RECEIVABLEIN A COMPANYJEL klasifikacija / JEL classifica

3、tion: G32, D29, M41Prethodno priopenje / Preliminary communicationPrimljeno / Received: 8. listopada 2021. / October 8, 2021Prihvaeno za tisak / Accepted for publishing: 10. lipnja 2021. / June 10, 20211. INTRODUCTIONAccounts receivable is the money owed to a company as a result of having sold its p

4、roducts to customers on credit. The primary determinants of the companys investment in accounts receivable are the industry, the level of total sales along with the companys credit and the collection policies.Accounts receivable management includes establishing a credit and collections policy.Credit

5、 policy consists of four variables: credit period, discounts given for early payment, credit standards and collection policy. The three primary issues in accounts receivable management are to whom credit should be extended, the terms of the creditand the procedure that should be used to collect the

6、money.The major decision regarding accounts receivable is the determination of the amount and terms of credit to extend to customers. The total amount of accounts receivable outstanding at any given time is determined by two factors: the volume of credit sales and the average length of time between

7、sales and collections. The credit terms offered have a direct bearing on the associated costs and revenue to be generated from receivables. If credit terms are tight, there will be less of an investment in accounts receivable and fewer bad debt losses, but there will also be lower sales and reduced

8、profits.We hypothesize that by applying scientifically-based accounts receivable management and by establishing a credit policy that results in the highest net earnings, companies can earn a satisfactory profit as well as a return on investment.The purpose of this study is to determine ways of findi

9、ng an optimal accounts receivable level along with making optimum use of different credit policies in order to achieve a maximum return at an acceptable level of risk. In striving to fill in the gaps relating to net savings from changes in credit policy, the study makes its own contribution to resea

10、rch and thereby to managers by giving them general recommendation. With the aim of completing these gaps, the study will investigate accounts receivables, their management and explore costs and benefits from changes in credit policy as well as net profitability.When a company is considering changes

11、in its credit policy in order to improve its income, incremental profitability must be compared with the cost of discount andthe opportunity cost associated with higher investment in accounts receivable.The outcome represents a new mathematical model for calculating net savings from changes in credi

12、t policy and with this model a company can consider different credit policies as well as changes in credit policy in order to improve its income and profitability.2. LITERATURE REVIEW2.1. Accounts receivable managementAccounts receivable represents a sizable percentage of most firms assets. Investme

13、nts in accounts receivable, particularly for manufacturing companies, represent a significant part of short-term financial management. Firms typically sell goods and services on both cash and a credit basis. Firms would rather sell for cash than on credit, but competitive pressures force most firms

14、to offer credit. The extension of trade credit leads to the establishment of accounts receivable. Receivables represent credit sales that have not been collected. As the customers pay these accounts, the firm receives the cash associated with the original sale. If the customer does not pay an accoun

15、t, a bad debt loss is incurred1.When a credit sale is made, the following events occur: inventories are reduced by the cost of goods sold, accounts receivable are increased by the sales price, and the difference is profit, which is added to retained earnings. If the sale is for cash, then the cash f

16、rom the sale has actually been received by the firm, but if the sale is on credit, the firm will not receive the cash from the sale unless and until the account iscollected. Carrying receivable has both direct and indirect costs, but it also has an important benefit-increased sales.According to Cham

17、bers and Lacey there are three primary issues in the management of accounts receivable: to whom to extend credit, what the terms of the credit should be, and what procedure should be used to collect the money. Extending credit should be based upon a comparison of costs and benefits. The analysis mus

18、t build in uncertainty because we are uncertain of future payment, and we will handle this by computing the expected costs and expected benefits through payment probabilities. The potential cost of extending credit is that the customer will not pay. Although there is a temptation to compute this cos

19、t as the full price of the product, it is almost always more appropriate to use the actual cost of the product. The potential benefit of extending credit is not just the hope for profit on the one transaction; rather, it is the potential value of the customer for a long-term relationship.The decisio

20、n of how much credit to offer must be made when the customer initially requests credit and when the customer requests additional credit. The fundamental principle that guides financial decisions can be used: marginal benefit versus marginal cost. The marginal cost is the additional potential lost co

21、sts of the product. The costs of past uncollected sales are sunk costs and should not be included as a marginal costs. The marginal benefits are the potential sales and interest revenues including the potential to recover past sales that remain uncollected.Once the decision to grant credit has been

22、made, the firm must establish the terms of the credit. Credit terms are often separated into two parts: the credit periodand the credit discount.Collection of accounts receivable is an important process for a corporation and requires a well-designed and well-implemented policy. One technique is the

23、factoring of accounts receivables. In a typical factoring arrangement, one firm will sell their accounts receivable outright to another firm for an agreed-upon price. There ia usually no recourse in such transactions, such that the buyer (also known as the factor) takes the loss if the purchaser of

24、the goods does not ultimately pay for them.Another technique to expedite the receipt of accounts receivable is to utilize lock boxes. Lock boxes are payment collection locations spread geographically so as to reduce the amount of time required for checks mailed to the firm to be deposited and cleare

25、d. The lock boxes are typically post office box addresses from which deposits go directly to a bank on the day of receipt. The reduction of mailing time and check clearing time for the banks can produce significant savings when large sums of money are involved.Payments of accounts receivable should

26、be closely monitored to detect potential problems such as would be indicated by slow payments. Following up on slow-paying customers is an important function of the credit department. Procedures should be carefully developed and consistently implemented.The major decision regarding accounts receivab

27、le is the determination of the amount and terms of credit to extend to customers. The total amount of accounts receivable is determined by two factors: the volume of credit sales and the average length of time between sales and collections. The credit terms offered have a directbearing on the associ

28、ated costs and revenue to be generated from receivables.In evaluating a potential customers ability to pay, consideration should be given to the firms integrity, financial soundness, collateral to be pledged, and current economic conditions. A customers credit soundness may be evaluated through quan

29、titative techniques such as regression analysis. Bad debt losses can be estimated reliably when a company sells to many customers and when its credit policies have not changed for a long period of time. In managing accounts receivable, the following procedures are recommended: establish a credit pol

30、icy establish a policy concerning billing establish a policy concerning collection.The establishment of a credit policy can include the following activities: A detailed review of a potential customers soundness should be made prior to extending credit. Procedures such as a careful review of the cust

31、omers financial statements and credit rating, as well as a review of financial service reports are common. As customer financial health changes, credit limit should be revised. Marketing factors must be noted since an excessively restricted credit policy will lead to lost sales. The policy is financ

32、ially appropriate when the return on the additional sales plus the lowering in inventory costs is greater than the incremental cost associated with the additional investment in accounts receivable.The following procedures are recommended in establishing a policy concerning billing: Customer statements should be sent within 1 day subsequent to the close of the period. Large sales should be billed immediately. Customers should be invoiced for goods when the order is processed rather than when it is shipped. Billing for services should be done on an