Quicken & Other Budget/Accounting Software/Cash
Is Cash receipts = Accounts receivable?
Is Cash Disbursements = Accounts Payable?
If not please let me know the exact meaning of Cash receipts and cash disbursements. Thanks.
Cash receipts is the total money deposited into your bank account. That can come from
money received against accounts receivable, loans from banks, money invested by the owner,
sales that occurred today and were paid today (never hit accounts receivable), refunds
from vendors, repayment of employee loans......just to name a few.
Cash disbursements is the total money paid out of your bank account. That can originate
from bills paid under accounts payable, and payments that never were entered on a bill (accounts payable) but just written the same day. For example, you may make a loan payment,
pay a telephone bill, or pay an insurance payment or utility bill by writing a check and
coding to an expense or liability account other than accounts payable.
Hope this helps,
Linda Saltz, CPA
Advanced Certified QuickBooks Advisor
We sell and support QuickBooks Enterprise