Some companies find that offering incentives to credit customers can help encourage early payments, increasing cash flow and reducing the risk of bad debt. A sales discount is one incentive that many ...

If your company gives your customers 30, 60, 90 days or longer to pay for purchases, you are creating accounts receivable, which goes in the asset side of your balance sheet. When you package your ...

Accounting practices in the U.S. have improved over the years, but there are still plenty of ways that companies can manipulate their financial results. And not just in the usual ways--the balance ...

Contra accounts adjust asset values, like equipment depreciation reducing fixed assets. Increased allowance for doubtful accounts may signal rising uncollectable receivables. Companies use contra ...

Directors are investigating the auto supplier’s complex financing arrangements and off-balance-sheet debt, including how more ...

The ending balance of a cash-flow statement will always equal the cash amount shown on the company's balance sheet. Cash flow is, by definition, the change in a company's cash from one period to the ...

Daniel Liberto is a journalist with over 10 years of experience working with publications such as the Financial Times, The Independent, and Investors Chronicle. Stella Osoba is the Senior Editor of ...