# Accounts Receivable

*Accounting & Reporting — Finicade finance glossary*

Accounts receivable is money customers owe you for goods already delivered — revenue recognised but not yet collected. It's an asset that consumes cash: growing receivables mean sales are being funded out of your own working capital. Receivables rising faster than revenue is one of the most reliable early warnings of both a collection problem and aggressive revenue recognition.

**Also known as:** AR, receivables, trade debtors

**Related terms:** [Accounts Payable](https://finicade.com/glossary/accounts-payable), [Days Sales Outstanding](https://finicade.com/glossary/days-sales-outstanding), [Working Capital](https://finicade.com/glossary/working-capital), [Allowance for Doubtful Accounts](https://finicade.com/glossary/allowance-for-doubtful-accounts), [Cash Conversion Cycle](https://finicade.com/glossary/cash-conversion-cycle)

Source: https://finicade.com/glossary/accounts-receivable