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NRV for accounts receivable is a reference to the net amount of accounts receivable that will be collected. This is the gross amount of accounts receivable less any allowance for doubtful accounts reducing the total amount of A\/R by the amount the company does not expect to receive. NRV for accounts receivable is a conservative method of reducing A\/R to only the proceeds Navigating Financial Growth: Leveraging Bookkeeping and Accounting Services for Startups<\/a> the company thinks they will get. A key factor in estimating the NRV is the most recent selling price. Such prices typically reflect conditions present at the reporting date, hence they are treated as adjusting events after the reporting period (IAS 2.30). Because the estimated cost of ending inventory is based on current prices, this method approximates FIFO at LCM.<\/p>\n<\/p>\n