Accounts receivable is part of the current assets section of the balance sheet. It represents the total amount due from customers. If the company decides that a specific amount is an uncollectible bad ...

Accounts receivable is defined as an asset that reflects a future payment. In actuality, an accounts receivable is a debt. How your business deals with the debt obligation, and the terms of the debt, ...

Discover how adjunct accounts enhance financial reporting by increasing liability book values. Learn how they differ from contra accounts and see real-world examples.

AR financing is usually offered by online lenders and fintech companies. Top options include AltLINE and Porter Capital. Many, or all, of the products featured on this page are from our advertising ...

Contra accounts adjust asset values, like equipment depreciation reducing fixed assets. Increased allowance for doubtful accounts may signal rising uncollectable receivables. Companies use contra ...

The Average Collection Period (ACP) is a financial ratio that calculates the average number of days it takes for a company to collect the money owed to it by its customers (its accounts receivable).

Cash flow statements are the third of the core financial reports produced by companies, following the income statement and balance sheet. Cash flow statements tell investors and managers exactly where ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. Somer G. Anderson is CPA, doctor of accounting, and an accounting and finance ...