How to monitor accounts receivable and what are the monitoring controls of accounts receivable

1) Improve the market competitiveness of products. Control from the source, give full play to the company's own advantages, constantly develop new products, open up new markets, open up the grade between the products of other similar enterprises, enhance market competitiveness, make their products become best-sellers, change passive to active, so that enterprises can purposefully choose orders, that is, choose customers, in order to reduce the occupation of funds in accounts receivable, fundamentally reduce credit behavior, and minimize the troubles caused by accounts receivable.

2) Establish a monitoring system and early warning mechanism for accounts receivable. The monitoring system of accounts receivable should include the occurrence of credit sales, account collection, overdue risk early warning and other links. The financial department analyzes and manages accounts receivable, and makes provision for bad debts, which is included in the current expenses.

The credit department and the sales department carry out accounts receivable tracking management services, and the credit department and the sales department should cooperate with each other in the work, distinguish their respective responsibilities in the tracking service cave, and achieve mutual supervision and mutual promotion, improve the accounts receivable rate, and promote the purpose of enterprise sales.

3) The supervisory role of internal audit should be brought into play. Continuously improve the monitoring system and improve the internal control system; Check the implementation of the internal control system, check whether there is any abnormal receivables and payment of receivables, whether there are major errors, dereliction of duty, internal fraud, deliberate failure to collect accounts, etc., to ensure the quality of accounts receivable.

4) Businesses can reduce risk by converting accounts receivable into notes receivable. Because the notes receivable have strong recourse and can be endorsed, transferred or discounted before maturity, the risk loss can be reduced to a certain extent. Therefore, when the customer cannot repay the payment when due, the enterprise can require the customer to issue an acceptance bill to offset its accounts receivable.

Accounts receivable refers to the amount that should be collected from the purchaser and the unit or individual receiving the labor service for the business of selling products and providing labor services. Accounts receivable in a broad sense includes receivables, notes receivable, and other receivables.

For enterprises, the existence of accounts receivable itself is a unity of production and marketing, enterprises not only want to use it to promote sales, increase sales revenue, enhance the competitiveness of enterprises, but also hope to avoid the existence of accounts receivable and the existence of capital turnover difficulties to enterprises, bad debt losses and other drawbacks.

Therefore, strengthening the management of accounts receivable does not mean that enterprises cannot have accounts receivable, but should control them within a reasonable range.

The management of accounts receivable is as follows:

1. Establish a good credit management and control system.

Enterprises can establish a strict credit grant process, confirm customer creditworthiness, and conduct credit inquiries on new customers, such as credit ratings, credit reports, etc. In addition, there can also be ways to strengthen risk assessment and establish credit insurance to reduce bad debt losses as coarsely and frankly as possible.

2. Formulate a clear collection policy.

It is necessary to establish a complete set of collection framework, including account period, collection method, collection channel, etc. At the same time, you should establish a clear collection process and send information such as confirmation bills and collection reminders to customers in a timely manner.

3. Strengthen the tracking and management of accounts receivable.

For overdue accounts that have not been received, it is necessary to track and deal with them in a timely manner, and formulate a clear overdue collection process and disposal method to ensure that the overdue accounts can be properly handled. In addition, Iwatong has established a transparent accounts audit process and oversees the internal audit process.

4. Optimize accounts receivable management technology.

The automation of accounts receivable management tools, the establishment of computer assistants, and the softwareization of ERP improve the practicality and accuracy of accounts receivable, and improve the efficiency of accounts receivable.

The role of accounts receivable management is reflected in:

Loan financing: accounts receivable can be used for the basic conditions of working capital loans of enterprises, according to its size and the nature of downstream enterprises receivable can apply to the bank for working capital loans, for the expansion of business and production. Credit sales have a more obvious role, and it is of more important significance for enterprises to sell new products and open up new markets.

Expand sales: In the increasingly competitive market, selling on credit is an important way to boost sales. Business credit sales are actually two deals offered to customers:

Selling products to customers and providing funds to customers for a limited period of time. Stool sales on credit are very beneficial to customers, so customers generally choose to buy on credit.

Inventory reduction: Enterprises holding finished product inventories need to increase management fees, storage fees and insurance premiums; On the other hand, if a business holds accounts receivable, it does not need to make the above expenses. Therefore, when the enterprise has a large inventory of finished products, it can generally use more favorable credit terms to sell on credit, convert the inventory into accounts receivable, reduce the inventory of finished products, and save related expenses.

Accounts receivable management is an important aspect of corporate financial management, which has a significant impact on the cash flow and profitability of an enterprise. Here are a few aspects of accounts receivable management:

Establish a reasonable credit sales policy: Enterprises should stipulate credit sales policies and payment terms in the sales contract, and at the same time evaluate the credit status of customers, and only provide credit sales to high-quality customers to reduce the risk of bad debts and arrears. Base backup.

Establish a scientific customer information management system: all customer information should be recorded in detail, including customer credit, historical sales records, arrears, etc., and the customer's credit should be assessed and updated in a timely manner.

Strengthen collection work: contact customers in a timely manner, send reminder notices, take legal measures, etc., so as to collect money in a timely manner and reduce bad debt losses.

Establish a strict accounts receivable management system: clarify the accounts receivable management process and scope of responsibility to ensure that accounts receivable management is scientific, standardized and effective.

Introduction of receivables financing: Eligible businesses can take the lead to consider receivables financing by transferring receivables to banks and other financial institutions in order to obtain more liquidity and reduce financing costs.

Strengthen financial supervision: Establish an effective internal control system, conduct multi-faceted financial supervision, and identify and resolve possible account risks and loopholes in a timely manner.

To sum up, the scientific management of accounts receivable helps to improve the cash flow and profitability of enterprises, and enhance the competitive advantage and stability of enterprises.

The management of accounts receivable includes: base marking.

1. Ex-ante management, including measures such as assessing credit ratings, establishing customer credit files, and formulating credit policies.

2. In-process management, including strengthening contract management, implementing the accounts receivable approval system and ledger system, and doing a good job in regular reconciliation and confirmation of creditor's rights.

3. Post-event management, including the establishment of accounts receivable performance appraisal system and collection system, and measures to improve the realizability of accounts receivable.

Accounts receivable and payment is the amount that should be collected from the purchasing unit due to the sale of goods, products, provision of labor services and other businesses in the normal course of business, mainly including the money and taxes that should be borne by the purchasing unit or the receiving labor unit, and the transportation and miscellaneous expenses of various cavities advanced by the buyer.

How to manage accounts receivable is described below:

1.Pay attention to credit checks:

Credit investigation of customers is an important part of the daily management of accounts receivable. Enterprises can understand the creditworthiness, solvency and capital protection of customers by consulting the customer's financial statements or according to the customer's credit information provided by the bank;

Whether there is sufficient collateral or guarantee, as well as the situation of production and operation, etc., and then determine the credit rating of the customer, as the basis for deciding whether to provide the customer with prudent credit.

2.Control the amount of credit:

Controlling the amount of credit sales is an important means to strengthen the daily management of accounts receivable, and enterprises determine the credit limit according to the customer's credit rating, and give different credit limits to customers of different levels.

The cumulative amount must be strictly controlled within the risk range that the enterprise can accept. In order to facilitate daily control, enterprises should record the determined credit sales amount on the accounts receivable details of each customer as a warning point for the control of the amount balance.

3.Reasonable collection strategy:

Accounts receivable collection strategy is an effective measure to ensure that accounts receivable are returned, when the room violates credit, the enterprise should take strong measures to collect the accounts, if these measures are ineffective, you can resort to the court, through legal means to solve, however, do not use legal means, otherwise you will lose the customer.

Accounting entries are treated as follows:

Borrow: Fixed assets.

Credit: Bank deposits.

According to the notice of the Ministry of Finance and the State Administration of Taxation on the issue of input tax deduction of fixed assets (CS 2009 No. 113), ancillary equipment and supporting facilities with buildings or structures as the carrier.

Regardless of whether it is separately booked and accounted for in the accounting treatment, it should be regarded as an integral part of the building or structure, and its input tax shall not be deducted from the output tax. As an intelligent building and supporting facilities, monitoring equipment is not eligible for input tax deduction.

1. Profit and loss of fixed assets.

After the implementation of the new standard, there has been a change in the accounting of the surplus of fixed assets. Under the old standard, the profit and loss of fixed assets were usually included in the account "Property Loss and Excess to be Handled - Loss and Excess of Fixed Assets to be Handled" before approval of resale.

After the resale is approved, it is transferred from this account to the "Non-operating income" account. According to the new standard, the profit and loss of fixed assets should be recorded as an error in the previous period in the account of "profit and loss adjustment for previous years". Rather, it is treated as an accounting error for previous periods.

According to the Accounting Standards for Business Enterprises (2006), prior-period error refers to the omission or misstatement of the financial statements of the previous period due to the failure or misuse of the following two types of information: reliable information that is expected to be obtained and taken into account when preparing the financial statements of the previous period.

Reliable information that can be obtained at the time of approval of the previous financial report. Prior period errors typically include calculation errors, errors in the application of accounting policies, negligence or misrepresentation of facts, the impact of fraud, and inventory and fixed asset gains.

When an enterprise makes a profit on fixed assets, it should first determine the original value, accumulated depreciation and net value of fixed assets. Fixed assets are debited and accumulated depreciation is credited based on the determined original value of the fixed assets, and the difference between the two is credited to the Prior Year Profit and Loss Adjustment.

secondly, the income tax expense payable is calculated, and the "tax payable - income tax payable" is credited; Then the surplus reserve is replenished and the "surplus reserve" is credited; Finally, the profit distribution is adjusted, and the "Prior Year Profit and Loss Adjustment" is debited and the "Profit Distribution - Undistributed Profit" is credited.

2. Inventory loss of fixed assets.

The loss caused by the inventory loss of fixed assets shall be included in the profit or loss for the current period. For the fixed assets that are lost in the property inventory, the account of "property loss and excess to be disposed of - loss and excess of fixed assets to be disposed of" shall be debited according to the book value of the fixed assets in the inventory loss.

The "Accumulated Depreciation" account is debited according to the accrued accumulated depreciation, the "Fixed Assets Impairment Provision" account is debited according to the accrued impairment provision, and the "Fixed Assets" account is credited according to the original price of the fixed assets.

When the report is processed after approval according to the management authority, the "other receivables" account shall be debited according to the recoverable insurance compensation or the compensation of the negligent person, and the "non-operating expenses - inventory loss and loss" account shall be debited according to the amount that should be included in the non-operating expenses, and the "property loss and loss to be disposed of" account shall be credited.