Is the AR on balance sheet credit or debit account?

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1087943

2026-03-19 05:50

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Accounts Receivable (AR) on the balance sheet is classified as a debit account. It represents money owed to a company by its customers for goods or services delivered but not yet paid for. As a current asset, it increases with debits and decreases with credits, reflecting the company's expected future cash inflows.

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