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This video tutorial explains the financial terms accounts receivable and accounts payable, where they are found in financial statements, and how journal entries work for them. Accounts receivable and accounts payable are listed on the balance sheet, which shows assets on the left (what you own) and liabilities on the right (what you owe). The balance sheet must be balanced, with the sums on each side equaling each other. Common items on the left side include cash, receivables, inventory, and fixed assets, while the right side includes payables, accrued liabilities, debt, and equity.
