Accounts Payables and Receivables

Accounts Payable is the cost of acquired goods and services while Accounts Receivable is the cost of goods and services sold.

What is Accounts Payables and Receivables ?
Accounts payable is the money a company has to pay within a limited period of time to its vendors or creditors for goods or services that the company bought on credit. On the other hand, accounts receivable is the money owed to the company, mostly by customers, for goods or services used by these customers. The accounts receivable is recorded as an asset on the company balance sheet, while the company record accounts payable as a liability. 

A company’s financial stability depends on how efficiently the account payable and account receivable processes occur and how effectively they are recorded and analyzed. Hence, it is important to have accounting software that not only ensures easy analysis and review of accounts payables and receivables but also ensures that accurate amounts are entered into the accounting system.

Shipthis’s Accounts Receivable and Payable feature ensures complete monetary visibility and transparency for better financial management. This feature not only allows you to review all your transactions from a single dashboard but also allows you to send reminders for pending payments.