Stock Analysis on Net

Chevron Corp. (NYSE:CVX)

Analysis of Bad Debts

Microsoft Excel

Allowance for doubtful accounts receivable (bad debts) is a contra account which reduce the balance of the company gross accounts receivable. The relationship between the allowance and the balance in receivables should be relatively constant unless there is a change in the economy overall or a change in customer base.


Allowance for Doubtful Accounts Receivable

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Selected Financial Data (US$ in millions)
Allowance 259 301 457 303 284
Accounts and notes receivable, gross 20,943 20,222 20,913 18,722 11,755
Financial Ratio
Allowance as a percentage of accounts and notes receivable, gross1 1.24% 1.49% 2.19% 1.62% 2.42%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Allowance as a percentage of accounts and notes receivable, gross = 100 × Allowance ÷ Accounts and notes receivable, gross
= 100 × 259 ÷ 20,943 = 1.24%

Financial ratio Description The company
Allowance as a percentage of accounts and notes receivable, gross Allowance for doubtful accounts divided by the gross accounts receivable. Chevron Corp. allowance as a percentage of accounts and notes receivable, gross decreased from 2022 to 2023 and from 2023 to 2024.