The company went bankrupt, Patterson did some jail time, and Helm lost everything. DQ 2 Receivables Discuss the allowance method and the direct write-off method of accounting for bad debts.
Unlike other commissioners, this man has a business degree, and he is coming to visit Jim tomorrow. What can they do to compensate for this?
Jim Reed manages a fleet of utility trucks for a rural county government. DQ 2 Receivables Discuss the allowance method and the direct write-off method of accounting for bad debts.
What can they do to compensate for this?
Being a small operation, he employed one person, Cindy Patterson, who did all his bookkeeping. Patterson was an old family friend, and he trusted her so implicitly that he never checked up on the ledgers or the bank reconciliations.
What was the key control weakness in this case? Describe them and explain why they must be estimated. Then, when they become fully depreciated, they are sold off by the county at salvage value.
Many small businesses cannot afford to hire enough people for adequate separation of duties. By the time the scam was discovered, she had drained the company of funds that it owed to many of its investors. Recently, a new county commissioner was elected with vows to cut expenses for the taxpayers.