Accounts Receivable General Journal Entry

[DebMoss]

I have made a journal entry debiting AR and crediting sales as of 12/31/03. Although I can see the entry in the transaction journal, it is not reflected in the balance of the "cash basis" Balance Sheet at 12/31/03. WHY ?

[joyce_soho]

Because AR is not cash received. AR means that your customers owe you that money. A cash basis reporter only reports what has actually been paid out or actually received in. Not what is owed to him.