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Because money is being received from customer we are not owing.
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∙ 13y ago
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What is a payment on account by a customer?
A payment on account by a customer happens when a customer pays a bill. For example, if a person had an account at a furniture store, each month, he or she would make a payment on their account to pay down their balance.
What happens when cash is received in payment of an account?
Received cash from a customer as payment on account
What accounts affected in received payment on account?
"what accounts are affected and how when a payment on account is received from a customer
Is a customer's payment on account immediatly recorded in the checking account?
true
What account is credited when a payment is received from a customer?
Accounts receivable
Which accounts are affected by a laboratory receiving payment of 8000 for regularly carrying out water tests for the state?
Asset account and liability account.
What payment on account by a customer?
A payment on account by a customer happens when a customer pays a bill. For example, if a person had an account at a furniture store, each month, he or she would make a payment on their account to pay down their balance.
What is a payment on account by a customer?
A payment on account by a customer happens when a customer pays a bill. For example, if a person had an account at a furniture store, each month, he or she would make a payment on their account to pay down their balance.
What happens when cash is received in payment of an account?
Received cash from a customer as payment on account
What accounts affected in received payment on account?
"what accounts are affected and how when a payment on account is received from a customer
Is a customer's payment on account immediatly recorded in the checking account?
true
What account is credited when a payment is received from a customer?
Accounts receivable
What needs to happen in account receivable when a customer pays their account?
When a customer pays their account, the account receivable department needs to put the amount of the payment into the computer. A receipt should also be sent to the customer.
What does payment on account by a customer mean?
It means to make a partial of full payment without specifying an specific reason or invoice for the payment.
Are bank checks assets or liabilities to banks?
Neither.The liability for a bank is the actual checking or savings account (demand account), as this is money that is owed to the depositor. A bank check is simply a way to demand payment from the bank's liability account (or the depositor's asset account). The check by itself is not an additional liability to the bank above and beyond the actual account balance.
What is the job description of a bill collector?
Locate and notify customers of delinquent accounts by mail, telephone, or personal visit to solicit payment. Duties include receiving payment and posting amount to customer's account; preparing statements to credit department if customer fails to respond; initiating repossession proceedings or service disconnection; keeping records of collection and status of accounts.
What is a letter of remitance?
By definition, a letter of remittance is "a document sent by a customer, which is often a financial institution or other type of firm, to a creditor or supplier along with a payment to briefly explain what the payment is for so that the customer's account will be credited properly." These letters are usually used when the customer does not have an established account with the other entity.
