allowance for bad debt

简明释义

呆帐备抵

英英释义

例句

1.The allowance for bad debt is crucial for accurately reporting a company's net income.

对于准确报告公司的净收入来说，坏账准备金至关重要。

2.Investors often look at a company's allowance for bad debt as an indicator of its financial health.

投资者通常将公司的坏账准备金视为其财务健康状况的指标。

3.After reviewing the accounts receivable, the accountant increased the allowance for bad debt to reflect higher risks.

在审核应收账款后，会计增加了坏账准备金以反映更高的风险。

4.During the audit, the external firm questioned the adequacy of the allowance for bad debt established by the management.

在审计过程中，外部公司质疑管理层设立的坏账准备金的充分性。

5.The company set aside an allowance for bad debt to prepare for potential losses from unpaid invoices.

公司预留了一个坏账准备金以应对未支付发票可能造成的损失。

作文

In the world of finance and accounting, businesses must manage various risks to maintain their profitability and sustainability. One significant risk that companies face is the possibility of customers not paying their debts. This situation can lead to financial losses if not properly accounted for. To mitigate this risk, companies often make an allowance for bad debt, which is a crucial aspect of financial management. An allowance for bad debt (坏账准备) is essentially a reserve that businesses set aside to cover potential losses from uncollectible accounts receivable. This practice is vital for accurately reflecting the financial health of a company and ensuring that its balance sheet presents a realistic view of its assets.When a company sells goods or services on credit, it records the revenue and accounts receivable. However, it is important to recognize that not all customers will fulfill their payment obligations. Some may experience financial difficulties, while others might dispute the charges or simply refuse to pay. Therefore, companies need to anticipate these scenarios and prepare accordingly. By establishing an allowance for bad debt, businesses can account for these potential losses in their financial statements.The process of creating an allowance for bad debt involves estimating the amount of accounts receivable that may not be collected. This estimation can be based on historical data, industry standards, or specific circumstances surrounding individual accounts. For instance, if a company has a history of 5% of its receivables becoming uncollectible, it may decide to set aside 5% of its total accounts receivable as an allowance for bad debt. This proactive approach helps to ensure that the company does not overstate its income or assets.Furthermore, the allowance for bad debt is an essential component of the matching principle in accounting. This principle states that expenses should be matched with the revenues they help generate within the same accounting period. By recognizing the potential for bad debts, companies can more accurately match their expenses with their revenues, leading to a clearer picture of their profitability. If a business fails to account for bad debts, it might report inflated profits, which can mislead investors and stakeholders.Moreover, the allowance for bad debt can also impact a company's cash flow management. When businesses know that a certain percentage of their receivables may not be collected, they can adjust their cash flow projections and financial strategies accordingly. This foresight allows them to maintain liquidity and avoid potential cash shortages that could jeopardize their operations.In conclusion, the concept of allowance for bad debt is integral to sound financial management practices. By setting aside reserves for potential losses from uncollectible accounts, businesses can present a more accurate financial position, adhere to accounting principles, and manage their cash flow effectively. Understanding and implementing an allowance for bad debt is essential for any company that extends credit to its customers, as it ultimately contributes to long-term financial stability and success.

在金融和会计的世界中，企业必须管理各种风险，以维持其盈利能力和可持续性。企业面临的一个重大风险是客户未能偿还债务的可能性。如果不加以妥善处理，这种情况可能导致财务损失。为了减轻这一风险，公司通常会设立坏账准备，这是一项至关重要的财务管理方面。坏账准备（allowance for bad debt）本质上是企业为覆盖无法收回的应收账款而预留的一笔储备。这种做法对于准确反映公司的财务健康状况至关重要，并确保其资产负债表呈现出资产的现实视图。当一家公司以信用方式销售商品或服务时，它会记录收入和应收账款。然而，重要的是要认识到，并非所有客户都将履行他们的付款义务。有些客户可能会遇到财务困难，而其他客户可能会对费用提出异议或干脆拒绝付款。因此，公司需要提前预测这些情况并做好准备。通过建立坏账准备，企业可以在其财务报表中考虑这些潜在损失。创建坏账准备的过程涉及估算可能无法收回的应收账款金额。这个估算可以基于历史数据、行业标准或个别账户的具体情况。例如，如果一家公司有5%的应收账款变得无法收回的历史，它可能决定将其总应收账款的5%作为坏账准备预留。这种主动的方法有助于确保公司不会夸大其收入或资产。此外，坏账准备是会计匹配原则的重要组成部分。该原则规定，费用应与其在同一会计期间内帮助产生的收入相匹配。通过认识到坏账的潜在风险，企业可以更准确地将其费用与收入匹配，从而更清晰地了解其盈利能力。如果企业未能考虑坏账，它可能会报告虚增的利润，从而误导投资者和利益相关者。此外，坏账准备还会影响公司的现金流管理。当企业知道某一比例的应收账款可能无法收回时，他们可以相应调整现金流预测和财务策略。这种前瞻性使他们能够保持流动性，避免可能危及其运营的现金短缺。总之，坏账准备的概念对于健全的财务管理实践至关重要。通过为无法收回的应收账款预留储备，企业可以呈现出更准确的财务状况，遵循会计原则，并有效管理其现金流。理解和实施坏账准备对于任何向客户提供信用的公司都是必不可少的，因为它最终有助于长期的财务稳定和成功。