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Management of Account Receivables



Accounts Receivables is the amount due to businesses for goods and services provided but not been paid yet. It represents the extension of the credit line by business with the due date falling in a relatively short period. It is showed as current assets in the balance sheet as it holds the legal obligation for customers to pay. If the organization has receivables, meaning it has already made the sale on credit, but yet to receive payments from buyers. Receivables are liquidity of the business to meet short term objectives without extra cash flow.


Benefits of Receivables:

Know Uncollected Profit

Enhance Customer Loyalty

Track Consumer Credit

Track Overall Fiscal

Minimize Credit Risk

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