The Study Of Accounts Receivable Internal Control Of Shenyang PRK Co., LTD

In market economy conditions, commercial competition is increasingly fierce, in addition to relying on their own brand of service, quality, price, and so on, more and more enterprises adopt credit means to expand the market, increase sales, as well as attract customers, meanwhile, it will also produce a large number of accounts receivable. The risk of accounts receivable comes from credit risk, more and more enterprises in our country is faced with "hard sales and gathering more difficult". On one hand, as a result of increasing competition in the real market, the enterprises continuously provide the favorable price and credit conditions, lead to little and little profits; from customers' point of view, on the other hand, some customers don't keep words, defaulting accounts payable maliciously, and companies will waste much time and hard work to work out this problem. Combined with enterprise internal control of accounts receivable not reaching the designated position, a lot of bad debts happened, which is a bigger test for the enterprise, therefore, when dealing with the view of the risk of accounts receivable internal control, we need to combine the actual situation of enterprises, make the establishment of the account receivable the internal control system being effective from the source, avoiding and guarding against accounts receivable risk is urgent. In the accounts receivable internal control, we will find a lot of problems, such as has lacking the customer credit assessment, and contract process or approval being not standard, the enterprise accounts receivable related to the business process defects leads to accounts receivable management chaos and debt collection difficult. Therefore, to perfect the process is the premise to improve the level of accounts receivable internal control.In this paper, PKR Company is an example, first summarizes accounts receivable internal control with respect to the related theory and literature at home and abroad, and for the basic situation of the company and industry status has carried on the brief explanation. Then this paper analyzes and research of the current situation of PKR Company's accounts receivable, as well as its risks of accounts receivable internal control and the causes of these risks, and focuses on putting forward to the suggestions of PKR Company. The beforehand control and afterwards control of PKR company's accounts receivable is weak, the classification is not clear to the customer, and there is no accurate evaluation of customer credit, and there is a problem on the deposit process afterwards. Through this case study, we can draw a conclusion that whether the organizational structure and process is perfect will directly affect a company's management and operational efficiency, as well as risk control, as a result, we can take measures by establishing the credit department and improving the process to maintain the efficiency of accounts receivable. Finally, it points out that the study of the limitation needs further research and the reasons of affecting the accounts receivable credit problems as well as the solution to these problems has carried on the brief introduction and outlook.