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Debtors verification

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(Querist)
25 April 2012 Hi my name is Hina i m an article assistant
I wanted to know how are we suppose to verify Subsequent movement in debtors
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CA Hardik Bunha

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CA Hardik Bunha (Expert)
25 April 2012 you have to classify debtors for 3 months, 6 months and above 12 months.

you can verify this from sales bill generated and collection from debtors.

if debtors exists for more than 3 years then it is a bad debtors. you have to write for necessary entry for this in your report.

in debtors you will find some collection received from 3rd person so adjust it as HAWALA a separate column. and you have to verify it from bills of exchange.

i think u understand it.
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