Case Name :      Albert Robins Company, Inc. -Trade Receivables

Authors :           Mark E. Haskins, Rebecca Bray

Source :             Darden School of Business

Case ID :           UV1123

Discipline :        Accounting

Case Length :    12 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

This case raises the question: How does a company reasonably estimate and record entries for uncollectible trade receivables, and under what circumstances are receivables written off as uncollectible? The required accounting transactions for the case involve estimating a receivables allowance both as a percentage of sales and as a percentage of accounts receivable and making specific account judgments under the direct write?off method. The subjective issues involve analyzing and assessing a company’s methods of collection and accounting for bad debts.