For calculating accounts receivable balance we need accounts receivable turnover rate So Accounts receivable turnover rate = number of days in year/annual sales outstanding accounts receivable turnover rate = 360/40 = 9 Accounts receivable balance = 7300000/9 Accounts receivable balance… Full Answer
Accounts Receivable: It is the money(CLAIM) made to the insurance company by a provider of health care (hospitals, doctors, etc) when the patient has enroled in Health care Insurance. When company sale products on credit then accounts receivable creates and… Full Answer
should accounts revceivable (net) bedeleted out Not sure what the first answer is saying, but net accounts receivable is total accounts receivable less allowance for doubtful accounts (accounts you think are not going to pay you)
Increase in accounts receivable causes the reduction in cash because if sales are made on cash then there is no increase in accounts receivable and company receives cash which causes the increase in cash while accounts receivable not.
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.
Receivable Accounts are amounts owed by customers for goods and services a company allowed the customer to purchase on credit. Receivable Accounts are an important factor in a company's working capital.
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… Full Answer