trade receivables chap 10 Flashcards
(20 cards)
will be recorded as..
current assets
business will send an ____ to its credit customers
invoice
exists when a business…
sells on credit
provided ____ services –>
Trade receivable, ___ (+)
Service fee revenue (+)
dishonoured cheque
account
trade receivable, ___ (+)
cash at bank (-)
sold goods
Trade receivable, ___ (+)
Sales revenue (+)
Cost of sales (+)
Inventory (-)
returned goods
accounts
Sales returns
Trade receivables, ___ (-)
Inventory (+)
Cost of sales (-)
TR paid outstanding balance with cash discount (eg 2%)
Cash at bank (+) —> 98%
Discount allowed (+) –> 2%
Trade receivable,__ (-) -> 100%
statement of financial performance
Sales revenue
Less: sales returns
Net sales revenue
Less: other expenses
On ddmmyy, TR returned goods,…
sales returns
$$$ previously purchased on credit from BISS
On ddmmyy, BISS received a cheque ,…
cash at bank + cash disc
$$$ from TR and a cash discount of $$ was given to TR
On ddmmyy, TR…
balance b/d
owed the business $$, brought forward from the previous period
Business provided its services..
service fee revenue
to TR at $$ on credit, on ddmmyy
on ddmmyy, the cheque..
dishonoured
received from TR on ddmmyy was dishonoured.
on ddmmyy, the business wrote off the…
allowance for impairement loss of tr
outstanding debts amounting to $$$ owed by TR
on ddmmyy, the business wrote…
off $$$ of the debts owed by TR.
represent amount owed by customers..
trade receivable
who buy goods and services form business on credit
an estimate of the value of depts..
that may be uncollectible in the future
the business charged credit customer $$
late payment
for late payment
