Problematic Matters Related to Provisions Accounting for Doubtful Debts

Abstract

Receivables can arise in an economic entity activity due to various reasons depending on the nature of its contractual relations with counterparts. The size of receivables is influenced by both external factors, such as the general state of the economy, the level of inflation, the structure, dynamics, capacity and degree of market saturation, etc. and internal factors, i.e. the level of professionalism in managing the receivables, including the keeping of accounting records and organization of internal control.