Accounts Receivable vs Accounts Payable What's the difference? ACCOUNTS RECEIVABLE 💰 → The amount of money customers owe the company. Location: Current Asset on Balance Sheet Offset: Allowance for doubtful account Types: Trade Receivables, Notes Receivable Cause: Created when the company sells goods or services on credit Action: Money to be collected Accountability: Lies with the debtors ACCOUNTS PAYABLE 💳 → The amount of money the company owes its suppliers. Location: Current Liab...
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