0
Yes, accounts receivable is a current asset. The company expects to receive payment for the amount owed in one year or less.
Notes receivable is a non-current asset. The company will receive payment of the amount in more than one year.
Wiki User
∙ 14y ago
Wiki User
∙ 13y agoGenerally yes, most of your accounts receivable will be listed as a current asset. To make sure however remember the rule of current assets.
Current assets are anything that can be turned into "cash" or liquidated easily, in an accounts receivable case, it is an account that can be expected to be paid in full with one year or one accounting cycle. Anything over that term is consider a long-term asset, though in accounts receivable, usually a long-term asset is listed as a "note" receivable, but that is not always the case.
Add your answer:
Earn +20 pts
What is the nature of account receivable?
Account receivable is an asset
Where is the account receivable be in trial balance?
debit balance under current asset
Is an account receivable a revenue?
Accounts Receivable is an asset since it is a resource controlled by the entity as a result of past transaction with the future economic benefit to flow to the entity.Sale of goods and services is a revenue and not accounts receivable.
Are accounts receivable a capital assets?
No, capital assets are listed as PP&E (Property, Plant, & Equipment). An account receivable is either a current asset or a long-term asset, not a capital asset.
At what point current asset become non current asset?
Current assets are assets that can be turned into cash quickly and easily. Cash in the bank of course being the most Current possible. Other Current Assets are things such as Account Receivable.A point where an Account Receivable may turn into a Non-Current Asset is if the person/company that owes you is unable to fulfill their obligations and pay off the balance in one year or less. If this is the case and payment for the account receivable is going to be stretched into more than a year, that current asset is then listed as a Non-Current Asset, usually a Note Receivable.
Is interest receivable considered an account receivable or other current asset?
It is considered a current asset as in it is not an account and should have a seperate t chart.
What is the nature of account receivable?
Account receivable is an asset
Where is the account receivable be in trial balance?
debit balance under current asset
Is an account receivable a revenue?
Accounts Receivable is an asset since it is a resource controlled by the entity as a result of past transaction with the future economic benefit to flow to the entity.Sale of goods and services is a revenue and not accounts receivable.
Are accounts receivable a capital assets?
No, capital assets are listed as PP&E (Property, Plant, & Equipment). An account receivable is either a current asset or a long-term asset, not a capital asset.
At what point current asset become non current asset?
Current assets are assets that can be turned into cash quickly and easily. Cash in the bank of course being the most Current possible. Other Current Assets are things such as Account Receivable.A point where an Account Receivable may turn into a Non-Current Asset is if the person/company that owes you is unable to fulfill their obligations and pay off the balance in one year or less. If this is the case and payment for the account receivable is going to be stretched into more than a year, that current asset is then listed as a Non-Current Asset, usually a Note Receivable.
Is accounts receivable classified as a liabilities and equity on a balance sheet?
Account receivable is that part of sales which are done on credit so if company received cash at the time of sales that would be asset as well so it is the amount which is receivable in future so it is current asset of company.
Journal entry of commicsion receivable?
Post to Commissions Earned, an income account and Commissions Receivable, a current asset account.
Where can you find subscription receivable in the balance sheet?
Whether Subscription Receivable account should be presented as an current asset or a contra equity account is debatable. The US SEC requires it as a contra equity account.
Is accounts receivable a permanent account?
Yes it is a real account. Accounts receivable is considered an asset and asset accounts are real or permanent accounts.
Is accounts receivable a asset or liability?
Accounts receivable is that amount which is receivable from debtors at future date that's why it is current asset of business.
Is receivable a current asset?
Generally yes, most of your accounts receivable will be listed as a current asset. To make sure however remember the rule of current assets.Current assets are anything that can be turned into "cash" or liquidated easily, in an accounts receivable case, it is an account that can be expected to be paid in full with one year or one accounting cycle. Anything over that term is consider a long-term asset, though in accounts receivable, usually a long-term asset is listed as a "note" receivable, but that is not always the case.
