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  • Thumbnail for Accounts receivable management during the recent recession
    Accounts receivable management during the recent recession by Wendorf, Michael Scott

    The use of business credit has become deeply-rooted within the majority of all business in the United States Economy. Proper accounts receivable management aids in the primary goal of any business, which is to return a profit. If a firm’s accounts receivable management is inefficient, and credit extended is unable to be collected, a bad debt expense is incurred and the company loses money. The necessity for an efficient system of accounts receivable management becomes even more important during recessionary downturns as all firms endure a tightening of capital available within the economy. This thesis will analyze the impact of the recession on accounts receivable, and how firms utilize different collection techniques to avoid bad debt expenses.