How does collecting AR NOT have an impact on CA? If you collect your AR, doesn’t your cash increase? Or is it because they will wash out? AR decreases while cash increases?
What is AR here? What is CA? Asset retirement obligation or accounts recievable. I’ll assume its accounts receivable. AR collections get subtracted from AR and increased to Cash, hence no effect on your balance sheet.
thats what I figured. Nevermind, Thanks!