accounts receivable vs accounts payable
Definitions
noun
- a creditor's accounts of money owed to him; normally arise from the sale of products or services
Examples
Full Accounting Functions, including general account responsibilities, customer billings, accounts receivables and payables, ledger, inventory, taxation.
Accounts receivable management requires striking a balance between the cost of extending credit and the benefit received from extending credit.
Therefore, accounts receivable from customers are classified as current assets, appearing in the balance sheet immediately after cash and short-term investments in marketable securities.
Definitions
noun
- a debtor's accounts of money he owes; normally arise from the purchase of products or services
Examples
Complex ERP systems make the invoice matching process more reliable and allow invoice approval tracking, so the accounts payable department can check the status of supplier invoices.
An administrative support team handled such matters as payroll, accounts payable, purchasing, and employment sourcing.
Its design lets users establish as many distinct ledgers as are required, such as projects, expenses, accounts payable and accounts receivable.
