Common Receivable Account

As per the party model, a common receivable account called Debtor is auto-created. This is a default Receivable Account for all the Customers.

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If needed, you can also create a new receivable account and update in the Customer master.

Question: Should I create a separate Receivable Account Account for each Customer?

Answer: You can, but it's not a recommended approach. If you want to create a separate Receivable Account for each Customer for tracking receivable, then it is not needed. You still view the Account Receivable & General Ledger report for each Customer.

Just like Debtors, for tracking payables, a default account called Creditors is created under Account Payables.

Related Topics

  1. Chart of Accounts

  2. Common Party Accounting

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