The Impact of Accounts Receivable Management on Financial Performance

This homework assignment delves into the relationship between accounts receivable management practices and financial performance, focusing on a student's research. The assignment introduces the concepts of positivism, emphasizing the use of scientific methods to study social phenomena, and Popper's principle of falsification, which asserts that a theory must be disprovable to be considered scientific. The student explores how these principles apply to financial analysis and accounts receivable management. The assignment references several sources to support the ideas discussed, examining how these practices impact financial statements and overall organizational growth. The student's analysis highlights the importance of these concepts within the context of finance, specifically in relation to the management of accounts receivable and its influence on the financial performance of a company. The assignment also underscores how financial practices can be analyzed and evaluated based on their impact on financial performance, with a focus on the role of finance in driving growth and development.

Research fundamentals
Student’s Name:
Student’s ID:
Subject:

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Thesis Topic: Relationship between accounts receivable management practices and financial
performance
Ideas from the chapter
Positivism
The idea of positivism is regarded as a philosophical system that identifies the aspects that can be
verified scientifically and is able to deny theism and metaphysics (Crotty, 1998). I got to know
that the information gained from sensory experience is later interpreted through logic and reason.
As per other researchers, positivism is determined to be a social phenomenon which can be
studied by utilizing the processes of natural sciences (Hasan, 2016). According to the author, the
idea of positivism is related to sociology and I totally agree with such perspective. I believe that
positivism demonstrates the approach towards the study of society by using scientific evidence
like qualitative, statistics and experiments to disclose a truth regarding the manner a society
functions. It is considered to be the philosophy of science which assumes a particular
methodological, ontological and epistemological perspective. The idea of positivism determines
that an increase in resource capabilities and growth serves a positive feedback loop until an
organization develops. I gained knowledge that the impact of entrepreneur finance on the
development of organizations creates a positive influence on growth and enhances the
dimensions of growth factor by strengthening the relationship among the management of
accounts receivable and a source of finance.
Popper’s principle of falsification
The idea of Popper’s principle of falsification is considered to be the declaration for any theory
to have the credibility that should be integrally disprovable prior to accepting it as a scientific
theory or hypothesis. I gathered knowledge that if certain things are falsifiable than they can be
utilized in inquiry, studies and science. Based on the perspective of other researchers the
scientific theories cannot be proved through any possible growth of observational indication.
Furthermore, it has been analyzed that the development of a hypothesis is regarded as an
innovative process of the imagination rather than an inactive reaction to observed uniformities
(Van Witteloostuijn, 2016). I agree with this idea, as I believe that the major component of a
scientific theory is that it should possess the ability to be proven false. Anything which is could

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not be proven false is determined to be pseudo-science and invalid for the scientific inquest
(Persson, 2016). I come to know that the idea of the principle of falsification is essential for
analyzing the nature of financial statements along with its impact on finances and accounts
receivable management practices like international, social, economic and monetary financial.

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References
Crotty, M., 1998. Positivism: The march of science. The foundations of social.
Hasan, M.N., 2016. Positivism: to what extent does it aid our understanding of the contemporary
social world?. Quality & Quantity, 50(1), pp.317-325.
Persson, U., 2016. Is falsification falsifiable?. Foundations of Science, 21(3), pp.461-475.
Van Witteloostuijn, A., 2016. What happened to Popperian falsification? Publishing neutral and
negative findings. Cross Cultural & Strategic Management, 23(3), pp.481-508.