Accounts Receivables is an important business concept that measures how much money a company is owed by its customers. It’s the total amount of money that companies should be paid for goods or services purchased on credit. The balance of Accounts Receivable represents the amount a company can reasonably expect to collect from its customers in the near future, and it’s typically reported as part of a company’s current assets. Having a solid understanding of Accounts Receivable is critical to any business’s success – it’s the lifeline that keeps their cashflow healthy!