Accounts Receivable Template is ready-to-use template in Excel to manage customer invoices and payments. Just insert your company name at the top of the template. Start using the template. Additionally, you can record payments and also get the invoice-wise outstanding and total accounts receivable outstanding.
Furthermore, it consists of multiple payment columns against each invoice so that you can also record part payments against invoices.
Trade Receivable
Accounts receivable is a legally enforceable claim for payment held by a business for goods supplied or services rendered that customers have ordered but not paid for. These are generally in the form of invoices raised by the business and delivered to customer for payment within an agreed time frame.
In simple terms, accounts receivable ledger consists of list of debtors to whom we have rendered a service or supplied goods. Moreover with details like invoice number, date of invoice, date wise payments received and outstanding receivables from a particular client or all in general.
Role of Notes Receivable
It handles the following functions:
- Firstly issue proper invoice against goods or services rendered.
- Secondly record invoices in the respective customer account.
- Thirdly Match the prices with Purchase order or Delivery Challan.
- Further Report mismatch if any or issue debit/credit note against it.
- Ensure timely collection of payment against invoices as per payment terms or contracts.
- Prepare the list of outstanding invoices that are due since long.
- Report settle invoices against all collection done.
- Reconcile invoices and payments statements between company and customer.
In addition to the above, this department also verifies purchases and prepares aging analysis reports apart from customer management.
Receivable Process
It is a 4 step process:
- Establishing the credit practices.
- Invoicing the customers.
- Tracking the Accounts Receivable.
- Accounting for Accounts Receivable.
In addition to the above, this department coordinates with the Sales department to ensure smooth collection of payments as well as saving the company from bad debts or long outstanding.
Accounts Receivable Journal Entries
Journal Entries for Sales
Account Receivable A/C – Debit
To Sales A/C – Credit
Journal Entries For Payments Received
Cash or Bank A/C – Debit
Account Receivable A/C – Credit
Journal Entries For Payments Received With Discounts
Cash or Bank A/C – Debit
Sales Discount A/C – Debit
Account Receivable A/C – Credit
The total of both credit amounts must be equal to the debit amount.
Journal Entries For Sales Return
Sales Return A/C – Debit
Accounts Receivable A/C – Credit
Accounts Receivable Template
We have created a simple and easy template with predefined formulas and formatting. Likewise Record date wise invoice and their respective payments and it’s almost done. The template shows invoice outstanding as well as total outstanding at given point of time.
