Notes receivables are written promissory notes which give the holder or bearer the right to receive the amount mentioned in the agreement. Sometimes accounts receivables are converted into notes receivables to allow the debtors to pay the balance. A note receivable is a written promise to receive a specific amount of cash from another https://www.bookstime.com/articles/control-accounts …
Category Archives: Bookkeeping
Creating an Effective Invoice Number System: Best Practices
(purchase order) will usually come first, as it is the expressed intent of a buyer to purchase goods and services from the seller. If a verbal agreement is made over the phone, for example, in the case of a tight timeline, a seller may send the product and invoice first, with the buyer later sending …
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Traps Big Fat Tease of an Ending, Explained
The account temporarily holds entries while you decide how you will classify them. A suspense account can also hold information about discrepancies as you gather more data. Both suspense accounts and clearing accounts are used to temporarily record transactions, until they can be permanently assigned. Suspense accounts, however, are more typically used when there is …
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Difference between Tangible and Intangible Assets With Examples
Intangible assets are non-physical assets producing economic value for a company. Recognized by their lack of physical existence, long-term usefulness and the significant challenge involved in accurate valuation, their bearing on a company’s value, while not guaranteed, can hold considerable weight. Current assets can be easily used and converted to cash such as inventory. A …
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