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Receivable for Dummies

adjective

pronunciation: rɪ'sivəbəl

What does Receivable really mean?

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Hey there! So glad you asked about the word "Receivable." Don't worry, I'm here to explain it to you using easy and not complex words. Ready? Let's dive in!

"Receivable" is a term used to describe something that someone is supposed to receive or collect. It's like when you lend your friend a pencil and expect it back, but in a more grown-up way.

Now, let me break it down a bit more. Say you buy something from a store, like a cool toy or a yummy snack. The store gives you the toy or snack, but you haven't paid for it yet. So, the money you owe to the store is called a "receivable" because they are supposed to receive that money from you.

But wait, there's more! "Receivable" can also describe something like a bill or an invoice. You know, those pieces of paper or digital files that show you how much money you need to pay for something. For example, when your parents receive a bill for electricity, it means they owe money to the electric company. That bill is the "receivable" because it shows the amount that needs to be received.

Now, imagine you have a piggy bank. When you get your allowance, you put coins and bills into your piggy bank for safekeeping. Those coins and bills are like "receivables" because eventually, you will get to receive or collect them.

In summary, "receivable" means something that someone is supposed to receive or collect. It can be money owed to someone, like when you haven't paid for something yet, or it can be a bill that shows how much money needs to be paid. Just like how you have your piggy bank to collect your allowance, "receivable" is a way for others to keep track of what they should get.

I hope this explanation makes sense to you, my friend. If you have any more questions, feel free to ask!

Revised and Fact checked by Michael Miller on 2023-10-29 16:02:38

Receivable In a sentece

Learn how to use Receivable inside a sentece

  • When your friend borrows a pencil from you, and they promise to return it tomorrow, that pencil is now a receivable for you.
  • Imagine you run a lemonade stand, and someone comes and buys a cup of lemonade but doesn't have any money with them. They promise to pay you later. The money they owe you is called a receivable.
  • If you lend your favorite book to your classmate, and they agree to return it next week, that book becomes a receivable for you.
  • Let's say you lend your mom $10 to buy groceries, and she promises to give you the money back when her paycheck arrives. That $10 becomes a receivable for you.
  • If you sell your old bicycle to your neighbor, and they agree to pay you in installments over the next three months, the money you will receive from them is called a receivable.

Receivable Similar Words

Words that similar to the original word, but are not synonyms.

due