POSITIVE CONFIRMATION Definition

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POSITIVE CONFIRMATION is the positive form of a receivables confirmation asking the customer to respond whether the customer agrees or disagrees with the client's reported receivable balance. The negative form of accounts receivable confirmation asks the client's customer to respond only if the customer disagrees with the balance determined by the client. The negative form is used when controls over receivables are strong and accounts receivable consists of many accounts with small balances. The positive form is used when controls are weak or there are fewer, but larger, accounts.

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OPPORTUNITY COST OF REVENUE (OCOR) is where revenue/money held now may be invested to produce more money - thus we consider opportunity cost a return or more revenue.

SUSTAINABLE COMPETITIVE ADVANTAGE (SCA) is the realization of long-term benefits of implementing unique core strategies that create value. The sustainable advantage over competitors is due to their inability to duplicate the benefits of the strategies implemented.

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