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Note 2 - Accounts Receivable
 12 Months Ended
Dec. 31, 2015
Notes to Financial Statements  
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]
(2)
Accounts Receivable
 
Accounts receivable consisted of the following (in thousands):
 
December 31,
 
2015
 
 
2014
 
Contracts in transit
   $ 168,460     $ 162,785  
Trade receivables
     33,749       37,194  
Vehicle receivables
     36,470       34,876  
Manufacturer receivables
     59,215       56,008  
Auto loan receivables
     42,490       25,424  
Other receivables
     3,033       4,554  
      343,417       320,841  
Less: Allowance for doubtful accounts
     (2,243
)
     (2,904
)
Less: Long-term portion of accounts receivable, net
     (32,712
)
     (22,558
)
Total accounts receivable, net
   $ 308,462     $ 295,379  
 
Accounts receivable classifications include the following:
 
 
•
Contracts in transit are receivables from various lenders for the financing of vehicles that we have arranged on behalf of the customer and are typically received within five to ten days of selling a vehicle.
 
•
Trade receivables are comprised of amounts due from customers, lenders for the commissions earned on financing and others for commissions earned on service contracts and insurance products.
 
•
Vehicle receivables represent receivables for the portion of the vehicle sales price paid directly by the customer.
 
•
Manufacturer receivables represent amounts due from manufacturers, including holdbacks, rebates, incentives and warranty claims.
 
•
Auto loan receivables include amounts due from customers related to retail sales of vehicles and certain finance and insurance products.
 
Interest income on auto loan receivables is recognized based on the contractual terms of each loan and is accrued until repayment, charge-off or repossession. Direct costs associated with loan originations are capitalized and expensed as an offset to interest income when recognized on the loans. All other receivables are recorded at invoice and do not bear interest until they are 60 days past due.
 
The allowance for doubtful accounts is estimated based on our historical write-off experience and is reviewed monthly. Consideration is given to recent delinquency trends and recovery rates. Account balances are charged against the allowance after all appropriate means of collection have been exhausted and the potential for recovery is considered remote. The annual activity for charges and subsequent recoveries is immaterial.
 
The long-term portion of accounts receivable was included as a component of other non-current assets in the Consolidated Balance Sheets.