Chapter-8BarryBus21

Credit card sales another way to avoid lengthy

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Unformatted text preview: y to avoid lengthy collection periods is to allow customers to pay for goods using national credit cards. This not only speeds up the seller's cash collection, but also reduces losses from customers writing bad checks. Credit card company charges a fee. 34 35 36 Summary Advantage and disadvantages of credit sales Estimating and reporting effect of uncollectible accounts on AR Allowance method, % of credit sales and aging methods Compute & report interest on Notes Receivable Account receivable ratios 37...
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