A Study On The Application Of The Expected Credit Loss Method For Accounts Receivables Of E-commerce B2B Platform Business Of A Company

Policies and models of impairment for accounts receivable are increasingly simplified and more and more mature for business practice,from the initial IAS39 mode to 2009-ED,2011-ED to 2013-ED theories.A Company,the leading enterprise in the cosmetics industry,has generated a great number of accounts receivable in rapidly growing operational activity from E-commerce B2 B platform business,with improved people’s living conditions and the thriving cosmetics industry.Thus,the issue demands a prompt solution,about how to choose a policy on bad debt reserves of accounts receivable more suitable for A Company and establish a set of expected credit loss model to provide effective information and improve the management process for its management.This thesis elaborates and compares policies on impairment of accounts receivable and accounting estimate that can upgrade the internal management capability or process of A Company effectively as anticipated,based on expected credit loss model and combining the characteristics of A Company’s industry and some relevant platforms.