Debit or credit accounts receivable is a type of accounting that deals with tracking money owed to a company. Essentially, it’s the process of recording and tracking money owed by customers who have purchased products on credit. This helps a business manage its cash flow and ensures that any monies due are collected in a timely fashion. With an effective debt or credit accounts receivable system, companies are able to make informed financial decisions based on reliable information. In other words, it’s an essential tool for managing the finances of any business.