Receivables Management Ppt
-
Upload
reena-hooda -
Category
Documents
-
view
130 -
download
3
description
Transcript of Receivables Management Ppt
![Page 1: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/1.jpg)
RECEVIBLE MANAGEMENT
By:REENA HOODA
![Page 2: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/2.jpg)
Trade Credit
Receivable
Goods sold on credit
Cash receive
in future
![Page 3: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/3.jpg)
Receivable
Risk
Cash receive in
future
Economy Value
![Page 4: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/4.jpg)
REASON FOR
GRANT CREDIT
COMPITITON
MARKETING TOOL
BUYERS REQUIREMENT
RELATIONSHIP WITH DEALERS
![Page 5: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/5.jpg)
BENEFITS
COST
![Page 6: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/6.jpg)
BENEFITSPROFIT
SALES
![Page 7: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/7.jpg)
Default cost
Delinquency cost
Capital
cost
Collection cost
![Page 8: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/8.jpg)
Credit Standard
Credit Analysis
CREDIT POLICIES DIMENSIONS
![Page 9: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/9.jpg)
Credit Standard
Tight Liberal
![Page 10: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/10.jpg)
Collection Cost
Average Collection Period
Bad Debt Expenses
Sales Volume
Factors
![Page 11: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/11.jpg)
EFFECT OF RELAXATION STANADARDS
ITEM Direction of change (increase = I DECREASE
= D)
Effect on profit (positive +
and negative - )
Sales Volume I(D) +( -)
Average Collection Period
I(D) -(+)
Bad Debt I(D) -(+)
![Page 12: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/12.jpg)
Credit investigation processObtaining credit informationAnalysis credit information
![Page 13: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/13.jpg)
Credit information
External
Trade references
Bank references
Internal
Past record and
references
![Page 14: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/14.jpg)
Analysis of credit
informatio
n
• Quantitative
• Qualitative
![Page 15: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/15.jpg)
Credit Terms
Credit period
Cash discount
Cash discount period
![Page 16: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/16.jpg)
ITEM Direction Of Change (I= increase , D= Decrease)
Effect on profit
(Positive + or negative -)
Sales volume I +Average collection period
D +
Bad debt expenses
D +Profit per unit
D _
Effects of increase in cash discount
![Page 17: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/17.jpg)
Collection period
Degree of collection efforts
Types of collection
efforts
![Page 18: Receivables Management Ppt](https://reader033.fdocuments.us/reader033/viewer/2022061112/5457265cb1af9f070f8b4a1d/html5/thumbnails/18.jpg)