Answer: B. Asset; Debit
The Accounts Recievable account is a(n)_____ account and carries a ____ normal balance.a.Liability;Debit b.Asset;Debit c.Liability;Credit d.Asset;Credit
Account receivables are classified as current assets assuming that they are due within one calendar year or fiscal year. To record a journal entry for a sale on account one must debit a receivable and credit a revenue account . When the customer pays off their accounts one debits cash and credits the receivable in the journal entry.
Accounts receivable - Wikipedia
Accounts receivable - Wikipedia
Factoring (finance) - Wikipedia
Chart of accounts - Wikipedia
Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e. invoices) to a third party (called a factor) at a discount. A business will sometimes factor its receivable assets to meet its present and immediate cash needs. Forfaiting is a factoring arrangement used in international trade finance by exporters who wish to sell their ...
A sale is a transfer of property for money or credit. In double-entry bookkeeping a sale of merchandise is recorded in the general journal as a debit to cash or accounts receivable and a credit to the sales account . The amount recorded is the actual monetary value of the transaction not the list price of the merchandise. A discount from list price might be noted if it applies to the sale.
A chart of accounts has sections for the balance sheet (assets liabilities equity) and the income and expense report (revenue expenses other revenue and expenses and intercompany and related party accounts ). Account # -- Account Title-- Debit (Dr) or Credit (Cr) 1.0.0 Assets Dr. 1.1.0 Cash And Financial Assets Dr
For a particular account one of these will be the normal balance type and will be reported as a positive number while a negative balance will indicate an abnormal situatio...
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