INTERNAL CONTROL OF ORDERING ACCOUNTS RECEIVABLE

Abstract

Nowadays, the organization of the internal control system at private enterprises in general and in terms of receivables has not been regulated at the legislative level. Thus, the study in the concerned area is relevant and urgent. The purpose of the article is to study the peculiarities of internal control over ordering receivables and representing the sequence of control and verification measures by internal control entities. The study was based on general scientific methods: systems, logical, analysis, induction, deduction, as well as the methods of theoretical generalization, classification and grouping. The legal and economic content of the concepts of “debt”, “obligations”, “arrears” is analyzed. The authors provide an additional classification feature “by reflection in the Balance Sheet (Statement of Financial Position)” in the classification of receivables, which will allow obtaining more accurate and qualitative information. The purpose and tasks of internal control of receivables in the works of predecessors-researchers with the separation of their author’s visions are summarized. The sources of information for the implementation of internal control of accounts receivable are grouped. Specific actions of the subject of internal control of receivables at each stage of checking the order of business transactions in receivables in posting accounts: 18 “Long-term receivables and other non-current assets”; 34 “Short-term notes receivable”; 36 “Settlements with buyers and customers”; 37 “Settlements with various debtors”; 38 “Bad debt receivables”; 63 “Settlements with suppliers and contractors” (provided that the enterprise does not use a subaccount 371 “Settlements of advance paid out” for prepayment); 64 “Settlements for taxes and payments” (debits of subaccounts 641 “Settlements for taxes” and 642 “Settlements for mandatory payments”); 65 “Insurance payments”, 66 “Staff salary settlements”, 68 “Settlements for other transactions”, are presented. The practical significance of the research findings is the possibility of using them to check the correctness of implementing and ordering settlements with debtors in the accounting by any internal control entities at enterprises of various types of activity. The prospects for further scientific research are the development of working documents of the entities of receivables internal control and the presentation of proposals for improving the system of internal control of settlements with debtors at enterprises of different economic sectors given the peculiarities of their functioning.