ABSTRACT
Any reader who has been studying this publication in the time-honoured fashion of starting at the beginning can hardly have failed to notice that great emphasis is constantly being put on the fact that debtors, or accounts receivable, is an asset. Not only that, but the asset may well be one of the most significant on the company’s balance sheet, representing as it does up to 35/40 per cent of the total asset value. Furthermore, like stocks, it is both a current and adjustable asset – that is to say, it can increase and decrease in value according to a number of actions, and the impact of such movements can be considerable on the health and wealth of the company.
