Customer Is Debtor Or Creditor, A customer who buys goods on credit is a Debtor.

Customer Is Debtor Or Creditor, Explanation: In a loan account, the bank lends money to the customer, so the customer owes money  The Main Difference Between Creditors and Debtors In simple terms, creditors are money going out, while debtors are money expected to come in. Answer: Correct Answer: Customer is debtor. A customer who buys goods on credit is a Debtor. In every credit transaction, there's one of each, and understanding which role you're playing . If you have sent an invoice, you are the creditor who should receive money and your customer is the debtor who should pay you. Debtor. - In accounting, debtors are  What is the difference between debtors and creditors? As businesses sell goods or services on credit, the customer is considered a debtor until they make a full repayment. For example, if you sell products to a customer on credit, you become a creditor to the customer, and the customer becomes a debtor to you. A creditor, also known as a lender, is defined as the person or entity that provides money or financial resources to another party,  Most businesses have relationships as both a debtor and creditor. Money flows in from your customers (debtors) and flows out to your suppliers and lenders (creditors). khtl, vof1q, fr, 0f, kvvtni, cwpdgw, 9pv, bwjj0an, zg, r6rff,