
Applications software
process. If it does, then all you can do is to write the loss off in your
accounts as bad debts.
Thus,
computers can be a great help in providing your credit
controllers with totally up-to-date information, on which customers
to pursue, and precisely what invoices are outstanding from those
customers.
The following question illustrated the cash flow problems involved
in setting up a small business.
Question
1 Praxus Ltd are electrical wholesalers, who start business on January 1st
with delivery of stocks valued at
£500,000,
which are replenished at the
beginning of each month. They must pay their suppliers on the 25th