Who is on the other side of a company''s bad debt expense

Reference no: EM131408480

In its November, 2009, press release discussing third quarter financial results, the construction management and consulting firm Hill International specifically cited an increase in bad debt expense as a drag on otherwise improved operating profits. Hill provides its services globally to companies involved in large construction projects.

REQUIRED:

Discuss the effects of an international real estate recession on construction projects and why this macroeconomic event would affect a company's bad debt expense. Who is on the other side of a company's bad debt expense? How does this expense affect the income statement and the balance sheet? How could an analyst following the global construction markets use a company's disclosure on bad debts to better understand the industry?

Reference no: EM131408480

Questions Cloud

What is the selling price of this product-how necessary it : Throughout this course, you will complete a project that follows the process you will use on the job to understand consumer behavior in relation to a product, service, or brand. You will then utilize that knowledge to reach and influence the consu..

How it might affect hp’s financial statements : Why would an investor or other user of HP's financial statements be concerned that certain individual customers represent a large portion of the receivables balance?

Corporate responsibility and insider trading : 1. What is HR's ethical duty in this situation? 2. Explain why this may fall under corporate responsibility and insider trading.

Important part of strategic training : 1) Identify training needs for a group of entry-level workers in a fast food restaurant. 2) Why is evaluating training an important part of strategic training?

Who is on the other side of a company''s bad debt expense : How could an analyst following the global construction markets use a company's disclosure on bad debts to better understand the industry?

Practice of checking a job candidate : Will you help me research the controversial HR practice of checking a job candidate's social media sites as part of the selection process?

What is one of the main strategies used by u.s. companies : Explain how the strategy in (b) works. Specifically, how might it be used to reduce the possibility of violating a covenant on an outstanding debt?

Ability to achieve competitive advantage : Argue for or against the argument that pay grades limit a company's ability to achieve competitive advantage. Support your position.

Why the demand curve slopes downward : Identify the fundamental lessons the Ten Principles of Economics teaches regarding:How people make decisions,How people interact,How the economy works as a whole ,Explain the following to help the committee members understand how markets work.

User Account

All Pages