Difference between account payable and receivable

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Accounts payable is money owed by a company to its suppliers while accounts receivable is money owed to a company by its customers.

Accounts payable is a liability while accounts receivable is an asset.
Accounts payable is recorded on the balance sheet under current liabilities while accounts receivable is recorded under current assets.
Accounts payable is paid by the company while accounts receivable is collected by the company.
Examples of accounts payable include bills for goods or services received but not yet paid for, while examples of accounts receivable include invoices for goods or services provided but not yet paid for by customers.

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