Question

1. How to deal with internal control (about documents)
2. Internal controls related to cash disperstment
3. Definition of receivables
4. Calculate the amount of cash received based upon buy something then return something then receive discount when paying early
5. When reporting accounts receivable on the balance she what does it represent
6. When do we recognize a debt expense under the allowance method
7. Given a situation and must adjust a doubtful account(steps)
8. What is the journal entry to write off a specific account when we are using the allowance method
9. Adjusting doubtful accounts what do we debt and what do we credit
10. Interest calculation journal entry has to do with note receivable and collecting interest(steps)

Answer as many questions as you can please

Answer 1

How to deal with an internal control (about documents)
Companies put internal control in place to limit risks. Potential risks incorporate losses, poor performance on contracts, low quality, and non-compliance with guidelines. Documentation methods detail the documents that the organization requires to actualize its internal control frameworks and dole out obligation regarding undertakings and activities. Private ventures, for the most part, require less documentation or controls than larger operations in light of the fact that every representative does a few job functions and the responsibilities are more clear. Compelling documentation systems bringing about minimum of efficient controls can give independent companies an upper hand.

Internal controls related to cash disbursement
The objectives of internal controls for cash disbursements are to ensure that cash is disbursed only upon proper authorization of management, for valid business purposes, and that all disbursements are properly recorded. Grantees will find this resource useful when maintaining internal control for cash disbursements.

• Segregation of Duties- Segregation of duties means that no financial transaction is handled by only one person from beginning to end. For cash disbursements, this might mean that different people authorize payments, sign checks, record payments in the books, and reconcile the bank statements.
• Authorization and Processing of Documents- Some organizations designate authorizing functions solely to the executive director to ensure that a single person is paying attention to money going out of the organization. In other cases, a department head might authorize purchases for that department, as long as they are within the department's budget. All disbursements should be accompanied by adequate documentation, in the form of receipts or an invoice. Cash withdrawals should never be made via automatic teller machine (ATM) cards.
• Consider requiring dual signatures-  A dual signature policy includes the establishment of a dollar threshold over which checks require two signatures.
• Reconcile Bank accounts in a timely manner- The bank reconciliation should also include a review of the bank statement and the check images that are returned with the bank statement for unusual transactions. Any unusual items should be investigated and evaluated when necessary.

Definition of Receivables
Account Receivables is an asset account in the balance sheet that represents money due to a company in the short term. It is created when a company lets the buyer purchase the goods or services on credit. Accounts receivable, or receivables represent a line of credit extended by a company and normally have terms that require payments due within a relatively short time period. It typically ranges from a few days to a fiscal or calendar year.

When reporting accounts receivable on the balance sheet what does it represent
Accounts Receivables on the balance sheet represent the money due to the company for goods or services rendered on credit. They are located under the Current Assets.

When do we recognize a debt expense under the allowance method
A bad debt expense is recognized when receivables are no longer collectible because the customer is unable to fulfill their obligation to pay an outstanding debt due to bankruptcy or other financial problems. The allowance method is a bookkeeping procedure that empowers organizations to Take into consideration anticipated losses in its financial statements to confine overstatement of potential income. A company will debit bad debts expense and credit this allowance account.

What is the journal entry to write off a specific account when we are using the allowance method
Allowance for Doubtful Debt Dr.
To Accounts Receivable

Adjusting doubtful accounts what do we debit and what do we credit
The balance in the account Allowance for Doubtful Accounts should be the estimated amount of the company's receivables that will not be turning to cash. For example, if the Allowance for Doubtful Accounts presently has a credit balance of $1,000 and you believe there is a total of $1,500 in Accounts Receivable that will not be collected, you need to enter an additional credit amount of $500 into the Allowance for Doubtful Accounts. The other part of this adjusting entry will be a debit of $500 to Bad Debts Expense.
Bad debt Account si Debited and Allowance for Doubtful Account is credited.