Assume That You Will Be Up for a Promotion Next

question 9

Essay

Assume that you will be up for a promotion next month and you'd like to impress your boss with your data analytic skills.The company you work for normally books the current month's bad debit for the same amount as the prior month's actual accounts receivable write-offs.Using your general accounting knowledge,explain why this process is not the best method.Next,assuming that you will use a regression analysis,explain the process and describe the data/information you would request/include to perform the analysis.

---

Definitions:

Negotiable

Describes items, like certain documents, that can be transferred from one party to another with the endorsement or delivery, retaining its value.

Ninety Days

A time period equivalent to approximately three months or 90 consecutive days.

Promise

A declaration or assurance that one will do something or that a particular thing will happen.

Consent Order

Under the Federal Trade Commission Act, an order under which a company agrees to stop a disputed practice without necessarily admitting that the practice violated the law.