Account Receivable


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Related to Account Receivable: account payable

Account Receivable

A debt owed by a business that arises in the normal course of dealings and is not supported by a negotiable instrument.

The charge accounts of a department store are accounts receivable, but income from investments usually is not. Accounts receivable generally arise from sales or service transactions. They are not necessarily due or past due. Insurance may be purchased to protect against the risk of being unable to collect on accounts receivable if records are damaged or lost.

References in periodicals archive ?
The procedure is simpler and less disruptive than the alternative that will apparently be retained in the revised revenue procedure -- the repatriation of cash to satisfy the account receivable. At a time when the IRS is under fire to settle cases without litigation, the provision provides another method of encouraging dispute resolution.
Jack Greenthum's account receivable of $12,000 from Jasmine's Ground Covers qualifies as a business debt because:
Section 4.03 suggests that the account receivable created "may not exceed" certain amounts.
166 is allowed for an account receivable to the extent such amount was not previously reported as income under the nonaccrual-experience method.
65-17, an account receivable from FOPAR to USSUB.(25) The required taxable imputed interest may prove to be too high a price just to eliminate withholding tax on the deemed dividend, particularly at common treaty-reduced rates such as 5 percent.