What is Accounts Receivable?
As per Wiki
Accounts receivable is a legally enforceable claim for payment held by a business for goods supplied and/or services rendered that customers/clients have ordered but not paid for. These are generally in the form of invoices raised by a business and delivered to the customer for payment within an agreed time frame.
In simple terms, accounts receivable ledger consists of the list of debtors to whom we have rendered a service or supplied goods along with details like invoice number, date of invoice, date wise payments received and outstanding receivables from a particular client or all in general.
Let me share the basic of how I created this template.
Row 1 = Enter Company/Business Name. Cells A1 to K1. Merged cells.
Row 2 = Heading of the sheet. Cells B2 to K2. Merged cells. Headings can be put as Accounts Receivable Ledger or Debtors Ledger.
Row 3 = Multiple headings as numbered below
- The subheading for Current Date in cell A3.
- Next cell B3 which will reflect the current date of the system using the formula =TODAY(). The date will automatically change according to the system date. You don’t need to change it every time and this saves your time.
- The subheading for Total Receivable in E3.
- In F3, the total receivable amount till date is displayed from the data below. The formula used here is =SUM(F5:F23).
Row 4 = This row consists of sub headings for data input. For example, see the table below:
Invoice Date, Invoice number, Customer name, Total Amount of Bill, payment 1 and payment 2 and their respective date are details to be put while entering data.
For the Due date, you can set a function which automatically calculates a number of days for you and show the exact date of payment. For this, you need to set a function like this = cell address which contains date + Number of days for allowed. Here in our sheet, it is 60 days. So the formula entered is =A5+60. Copied to all cells below by simple copy paste, this will apply the same settings to all cells below.
Balance here is calculated by deducting the total amount of invoices for our customers – Sum (Payment1 + payment2) etc. In this template formula used is
If you have any queries or questions, share them in comments below and I will be more than happy to help you.