Sentences with accounts receivable
- When one company sells goods to another company, it does not usually expect to be paid immediately. These unpaid bills, or trade credit, make up the bulk of accounts receivable.Most business-to-business transactions involve sales on credit, usually 30-day terms, and that leads to accounts receivable.A company's accounts receivable are all the money that it is owed by other companies for goods or services that it has supplied, or a list of these companies and the amounts that they owe.