Differences Between Accounts Receivable and Accounts payable

Differences Between Accounts Receivable and Accounts payable Basis Accounts Receivable Accounts Payable Accounts Receivable is the amount that the Accounts Payable is the amount that the Meaning customers of the company owe to it company owes to its suppliers Position on the Balance sheet Accounts Receivable is on the Accounts Payable is on the current current asset of the balance sheet liability of the balance sheet Receivables can be offset with the Offset Payables have no offset allowance of doubtful debts Payables have multiple categories of accounts like sales payable, interest payable, income taxes payable Туре of Receivables have only one category of account, i.e., trade receivables accounts This account is created because of the selling of goods and services This account is created because of purchasing Cause material on credit Impact on Results in Cash inflow Results in Cash outflow cash flow Action Money to be collected Money to be paid Accountability Accountability lies on the debtors Accountability lies in the business Турes Bills receivables and debtors Bills payable and creditors www.myaccountsconsultant.com MC [email protected] +1 (877) 761-9996 MY ACCOUNTS CONSULTANT