Analysis of payables and receivables

When conducting cashless settlements between enterprises, firms and organizations, a situation often arises where an analysis of accounts payable and accounts receivable is necessary. Before proceeding to the description of the methods of this analysis, it is necessary to understand the very concepts that are characterized by these categories.

Accounts receivable (DZ) is any kind of debt that may arise from one business entity, including natural persons, in relation to other entities. Its accounting and analysis is complicated by the fact that the nature of DZ is determined by a combination of causes.

Here are some of them:

- the type of product that is the subject for which settlements are made between subjects of economic relations;

- the size of the market on which these enterprises and organizations operate;

- the level of saturation of the given market with those goods for which calculations are conducted;

- those specific forms and methods of calculations that are used by these enterprises in the calculations.

In the current work, the control of receivables is to correctly and accurately measure its dynamics, that is, to establish how it changes during the reporting period (or another period chosen for analysis), in tracking its structure and sources of origin, specifically to know for What economic entities it is listed, what are its monetary amounts and the timing of its occurrence.

At the same time, the most careful attention should be paid to such types of DZ as unjustified and overdue.

To an unjustified analysis of accounts payable and accounts receivable includes:

- resulting from shortages, theft or embezzlement;

- Debts of UKS firms and enterprises that are formed in violation of financial discipline;

- debts of partners for unpaid, but already delivered goods.

That debt, the maturity of which has already expired on claims, is written off to the losses of the given enterprise. Legislation is 3 years.

This kind, like other debts, includes several articles of commodity and non-commodity properties. These are:

- settlements between business entities on planned payments;

- arrears arising from the delay in the provision of reports by persons who received funds under report;

- Debts on payments for the use or rental of residential premises and municipal debts.

In order to optimize the value of DZ, the analysis of accounts payable and accounts receivable assumes that it is necessary to turn to the selection of possible consumers of the enterprise's products and to establish the most favorable conditions for payment for the supplied marketable products.

As practice shows, the analysis of accounts payable and accounts receivable is conducted either by a continuous method or by a method of selective analysis. In each case, the choice of method depends on the size of the debt, the characteristics of the debtors and the reliability of the documents that they represent.

However, the most important in the analysis are the following DZ indicators:

- Absolute, which reflects those debts for which the maturity period exceeded three months;

- Turnover, which is calculated according to the formula: O = B / DZ (cf), where: B - revenue from sold products, net of VAT, DZ (cp) - average value of accounts receivable, O - value of turnover.

- the repayment period of the DZ, which is defined as the quotient of dividing the number of days in a year (360 is taken) by the value of the turnover amount (O).

As the most important indicator characterizing the DZ, one should take the axiomatic: the longer the duration of the delay in the DZ, the lower the probability of its repayment.

Therefore, it is important to pay attention to the parameter such as short-term accounts receivable, which is understood as the payment for which consumers of products are expected to arrive within the next 12 months. Here an important direction of work for each enterprise or organization is to maintain constant interaction with consumers and control their financial sustainability, which should be organized on the basis of studying various, primarily independent sources of information.