At 30 June 20X4 a company's allowance for receivables was $39,000. At 30 June 20X5 trade receivables totaled $517,000. It was decided to write off debts totaling $37,000. The allowance for receivables was to be adjusted to the equivalent of 5 per cent of the trade receivables.
What figure should appear in the statement of profit or loss for these items?
Receivable expense = Bad debt + Movement in allowance
= Bad debt + （Closing allowance - Opening allowance）
Movement in allowance = Closing allowance - Opening allowance
= （517000-37000）*5% - 39000 = -15000
Receivable expense = Bad debt + Movement in allowance = 37000-15000 = 22000
✔ Receivable expense的计算