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Trade Accounts and Bills Receivable, net
 9 Months Ended
Sep. 30, 2021
Trade Accounts And Bills Receivable Net [Abstract]  
Trade Accounts and Bills Receivable, net
3. Trade Accounts and Bills Receivable, net

 

Trade accounts and bills receivable as of December 31, 2020 and September 30, 2021 consisted of the following:

 

   December 31,   September 30, 
   2020   2021 
Trade accounts receivable  $33,305,997   $26,874,297 
Less: Allowance for doubtful accounts   (5,266,828)   (4,894,614)
    28,039,169    21,979,683 
Bills receivable   1,532,105    251,759 
   $29,571,274   $22,231,442 

 

Included in trade accounts and bills receivables are retention receivables of $1,896,068 and $1,897,891 as of December 31, 2020 and September 30, 2021. Retention receivables are interest-free and recoverable either at the end of the retention period of three to five years since the sales of the EV batteries or 200,000 km since the sales of the motor vehicles (whichever comes first). 

 

An analysis of the allowance for doubtful accounts is as follows:

 

   September 30,   September 30, 
   2020   2021 
Balance at beginning of period  $4,650,686   $5,266,828 
Provision for the period   981,241    
-
 
Reversal - recoveries by cash   (917,707)   (437,475)
Charged to consolidated statements of operations and comprehensive (loss) income   63,534    (437,475)
Foreign exchange adjustment   120,420    65,261 
Balance at end of period  $4,834,640   $4,894,614