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When a cell is made to a customer on credit it creates an AR which is classified by a company as?
Claudinemjimenez7206
When a sale is made to a customer on credit, it creates an AR which is classified by the company as an accounts receivable.
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∙ 9y ago
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When a sale is made to a customer on credit it creates an a r which is classified by your company as?
Asset
When a sale is made to a customer on credit it creates an Accounts Receivable which is classified by your company as?
an asset
When a sale is made to a customer on credit it creates an Accounts Receivable which is classified as?
Sundry Debtors
When a sale is made to a customer on credit it created an account receivable which is classified as?
Sundry Debtors
How credit company manage credit?
Credit Company manage it by way of evaluating there customer on how they will use it and spend it. Some credit company limits their credit so that user can limit also the way they will spend it.
What is credit customer?
Credit customer means that this customer has a credit term with the company. Credit term means that the customer can pay at a later date. Illustrations: Alice is your credit customer, she has credit term of 60 days. Alice bought stuff from you on 1st Jan, she can then pay you on 60 days after 1st Jan, which is 28th February.
What is the function of a credit card company?
A credit card company act as a 'liaison' between the customer and the business. The customer presents their credit card to the retailer - and the card company pays the retailer for the goods the customer has purchased. The card company charges the customer interest each month on the outstanding balance - in payment for the convenience of being able to make (often expensive) purchases, without having to h=cary large amount of cash.
What is the appropriate classification of customers accounts with credit balances in a balance sheet?
If a customers account has a "credit" balance, this means the company owes that customer rather than the customer owing the company. Customer accounts tend to have a debit balance, meaning the customer owes the company that amount. It is rare when a company owes a customer, if this does happen, the account becomes a liability instead of an asset because of the fact that now the company owes money rather than is "owed" money.
What is the difference for account receivable and accounts payable?
When company make sales in credit it creates the accounts receivable while when company purchases on credit it creates the accounts payable so accounts receivable is current asset while accounts payable is current liability.
What does the company 'first credit' do?
The company 1st credit is a personal consumer debt management company. 1st Credit purchases and collects portfolios of personal consumer debt that have reached a financial default status. 1st Credit then provides services for tracking a customer to pay up.
What is the difference between a Debit and a Credit as it relates to Accounts Receivable?
Accounts Receivable is an account that holds what a person or company owes your business. For example you sold a computer to a customer on credit, this credit is listed in an Accounts Receivable and is an asset.Asset accounts maintain a Debit Balance, meaning that a debit to the account will increase the account (in other words increase the amount the customer owes the company).A credit to the account will decrease the balance of that account (in other words, it records payment or credit to that customers account and decreases the amount the customer owes the company).
Is refund to customer debit or credit?
Credit to the customer.
