Trade Debtors

What are Trade Debtors?

Trade Debtors are amounts which are owed to you by your customers, they are sometimes referred to as Trade Accounts Receivable.

When you allow your customer credit and invoice them for a product or service and receive payment at a later date 30 days 60 days etc, then while they owe you the money they are classified as trade debtors.

Trade Debtors are recorded in the balance sheet of the business under the heading Current Assets, that means they are convertible into cash within a year.

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Trade Debtors March 23rd, 2016Team

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