Financial Accounting Eight: Accounting For Receivables Using The Allowance Method

No Rating(0)
See all reviews

This course is designed for those interested to learn the basics of receivables in accounting with focus on accounts receivable and notes receivable, the cycle, journal entries for recording, and related subsidiary ledgers, as well as the allowance method and the direct write off method.

Watch Free For 30 Days

start free access

-or-

buy single class $199
  • On Demand Video Lessons
  • Course Certificate
  • 24/7 Support

About This Coursebeginner

In this course, we will discuss bad debt and valuing of accounts receivable using two methods, the allowance method and the direct write off method. The accounts receivable account represents money owed to the company but there will be times when the company cannot collect on the account receivables. 

Under the direct write off method, we write off the accounts receivable as we determine they are not collectible. The direct write off method does not do a good job of representing the accounts receivable account’s true value and does not do a good job of conforming to the matching principle, matching up expenses with the related revenue it was used to generate. 

The allowance method does a better job of valuing accounts receivable and conforming to the matching principle and is the method preferred. The allowance method is more complex, however, and requires the use of estimates. 

We will also discuss notes receivable, the journal entry for recording notes receivable, and for receiving payment on a note receivable. We will cover detailed methods for calculating simple interest. 

Who this course is for:

  • Accounting students
  • Business owner
  • Anyone who wants to learn accounting

Our Promise to You

By the end of this course, you will have learned accounting for receivables.

30 Day Money Back Guarantee. If you are unsatisfied for any reason, simply contact us and we’ll give you a full refund. No questions asked.

Get started today and learn more about the accounting for receivables using the allowance method.

Course Curriculum

Course Sections

Receivables Course Overview

Receivables Introduction

Accounts Receivable Journal Entries Overview

Accounts Receivable Journal Entries

Debits And Credits Accounts Receivable

General Ledger Accounts Receivable

Multiple Choice Questions – Accounts Receivable

Accounts Receivable Subsidiary Ledger Overview

Accounts Receivable Subsidiary Ledger Explained

Accounts Receivable Subsidiary Ledger – Part One

Accounts Receivable Subsidiary Ledger – Part Two

Multiple Choice Questions – Accounts Receivable

Discussion Question

Direct Write Off Method Overview

Direct Write Off Method

Worksheet Direct Write Off Method

Multiple Choice Questions – Accounts Receivable

Discussion Question

Allowance Method Overview

Allowance Method Accounts Receivable

Allowance Method – Part One

Allowance Method – Part Two

Allowance Method – Part Three

Multiple Choice Questions – Accounts Receivable

Discussion Question

Allowance Method Compared To The Direct Write Off Method Overview

Allowance Method Compared vs Direct Write Off Method

Multiple Choice Questions – Accounts Receivable

Discussion Question

Allowance For Doubtful Accounts Calculation Overview

Allowance Method Accounts Receivable vs Sales Method

AR Method – Allowance For Doubtful Accounts

Fifty Percent Of Sales Method – Allowance For Doubtful Accounts

Multiple Choice Questions – Accounts Receivable

Test Questions – Accounts Receivable Direct Write Off

Discussion Question

Notes Receivables Overview

Notes Receivable

Interest Calculations

Worksheet – Simple Interest

Note Receivable Example

Worksheet One – Notes Receivable

Worksheet Two – Notes Receivable

Multiple Choice Questions – Accounts Receivable

Test Questions – Accounts Receivable Direct Allowance

Discussion Question

Comprehensive Problem Overview

Comprehensive Problem Special Journals – Part One

Comprehensive Problem Special Journals – Part Two

Comprehensive Problem Special Journals – Part Three

Comprehensive Problem Special Journals – Part Four

Comprehensive Problem Special Journals Part Five – Adjusting Entries

Comprehensive Problem Special Journals Part Six – Financial Statements

Comprehensive Problem Special Journals – Part Seven – Closing Process

Downloadable Materials – Receivables

Reviews

No Reviews found for this course.