What is accounts recevable & acct. payble? How they are
efect in real life accounts of the company?
- 2 Answers
- 8674 Views
- Genpact, IBM, I also Faced
- E-Mail Answers
Answer Posted / immanuel jacob
Accounts payable are amounts a company owes because it
purchased goods or services on credit from a supplier or
vendor. Accounts receivable are amounts a company has a
right to collect because it sold goods or services on
credit to a customer. Accounts payable are liabilities.
Accounts receivable are assets.
Let’s assume that Company A sells merchandise to Company B
on credit. (Perhaps the invoice states that the amount is
due in 30 days.) Company A will record a sale and will also
record an account receivable. Company B will record the
purchase (perhaps as inventory) and will also record an
account payable.
Our example reminds me of an old saying, “There are two
sides to every transaction.” In accounting we also expect
symmetry: Company A has a sale and a receivable, Company B
has a purchase and a payable.
| Is This Answer Correct ? | 8 Yes | 1 No |
Post New Answer View All Answers
Let me know the difference between cash flow and free cash flow
what types of essays are giving in bank of america. can any one tell the opics? LAVANYA
1.What are the basic accounting Standards ?? 2.What is the main importance of Bank Reconcilation Statement? 3. What is Form 407 in Vat ??
what do you mean by financial analysis and technical analysis ?
what are the types of provisions that you would make for the end of a financial year?explain
For how long should prepayments be carried in the books as fictitious asset and when is it ideal for a new coy to pay tax
Plz send me the questions that could be asked in an interview for a Bank Clerical job to suja_aln@yahoo.co.in. Thank you.
In IGATE, 2 yrs bond for fresher and reverent experience 1 year bond. First z essay writing. “Unforgettable movement ur life” Tiz in ITPL IGATE stopping
Why in a cash book receipts are debited while the same if received in our books recepits are credited. Why does cash book have a rule to debit receipts and credit payments. For example if am paying the cash that i owe the company or firm i debit in my books(cash) on the debit side and should credit in the cash book but i cant do that cash book take receipts on the debit side as per the general . please clarify many thanx in advance
can u let me know how the bankers calculate interest on O.D.account
---------is the main or principle book of accounts
what is the core accounts
Expand-------SNAT
Hello to every body ... Its not its not a interview question In accounting field can we make Money ?
Ram retired from partnership. The partners with mutual consent agreed to put the capital balance as on the date of retirement as loan to the firm @ 18% pa. The credit balance to his capital account was Rs 325000/- Pass necessary entry
