Accounts Receivable Payable (AR/AP) is the total amount of money owed to a business or an individual by another organization or individual over a certain period of time. In other words, it’s a record of all the money that flows in and out of a company on a regular basis. In many cases, Accounts Receivable Payable is also referred to as “debtors and creditors,” as it reflects any debts incurred and money owed to a business by its customers. With AR/AP, companies can easily track how much money they owe, how much money they are owed and adjust accordingly with their accounts payable terms. Proper management of AR/AP can help businesses remain financially healthy and identify opportunities for increased profitability.