Albert Robins Company, Inc.—Trade Receiv...
Haskins, Mark E., ...
Albert Robins Company, Inc.—Trade Receivables
Haskins, Mark E.; Bray, Rebecca
C-2245 | Published June 8, 2006 | 12 pages Case
Collection: Darden School of Business
Product Details
This case raises the question: How does a company reasonably estimate and record entries for uncollectible trade receivables, and under what circumstances are receivables written off as uncollectible? The required accounting transactions for the case involve estimating a receivables allowance both as a percentage of sales and as a percentage of accounts receivable and making specific account judgments under the direct write-off method. The subjective issues involve analyzing and assessing a company's methods of collection and accounting for bad debts.
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