Example of AR Process in Companies - AP and AR Process

Transcript

AR Process An Accountant Should Perform following Steps: Maintain Record of Sales Orders (Agreement Tracker Excel Sheet) Issue Bills on Time (On Bill Date as per Tracker) Monitor Due Dates (Due Dates Mentioned in Party’s Ledger In Tally) Issue Reminders for Due Dates (2 − 3 Days before due Dates) Monitor Bank Statement for Receipt (Daily / Weekly Pass Entry for Receipt as per Bank Statement) Payment Not Received Payment Received Make Debtors Aging Report Monthly Update Party Ledger Send Email / Call Customers for Payments If Amount Not Yet Received Take Approved for Bad Debts If Short Amount Received Take Approved for Discount If Amount Received Book Bad Debts If Expected to be Received Make Provisions