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Accounts Receivable is a Subledger in which all credit sales are recorded upon creation of Invoices for products or services. In Financial Reporting Accounts Receivable is the amounts due from customers who have purchased products or services on credit. The amount in reported in Accounts Receivable represents the unpaid portion of invoices.

The primary document recorded in the Accounts Receivable ledger is the customer invoice. Credits issued to customers Credit Notes are also recorded in the Accounts Receivable ledger. Debits for additional amounts are recorded as Debit Notes or separate invoices.

A typical entry in the Accounts Receivable includes:

• Invoice number
• Invoice date
• Invoice due date
• Customer number or name
• Product or service item number, SKU or name
• Total amount
• Sales tax amount - if applicable
• Payment status

The total amount in Accounts Receivable allowed to an individual customer is typically limited by a credit limit, which is set by the Seller's credit department, based on the Seller's assessment of Risk.

Process(es)

ID	Name	Level	x
S408	Settle Return	3	S408
D105	Invoice	3	D105
D205	Invoice	3	D205
D306	Invoice	3	D306

Metric(s)

ID	Name	Level	x
AE11	Days Receivables Outstanding	2	AE11
AE111	On-time Receipts Ratio	3	AE111
AE112	Late Receipts Ratio	3	AE112
AE113	Uncollectable Receivables Ratio	3	AE113

Term(s)

ID	Name	Clear	x
Factoring	Accounts Receivable Factoring		Factoring
CSFP	Statement of Financial Position		CSFP
WC	Working Capital		WC

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Statement of Financial Position Days Receivables Outstanding On-time Receipts Ratio Late Receipts Ratio Uncollectable Receivables Ratio