open account

Học thuật
Thân thiện
open account

A customer uses their open account to purchase supplies.

Definition
  1. Noun:
    • A credit arrangement with a business: An "open account" is a type of credit where a seller provides goods or services to a buyer without requiring immediate payment, based on an agreement that the buyer will pay at a later date, typically after receiving an invoice.
    • An unpaid credit order: It refers specifically to a purchase made on credit that has not yet been settled.
Usage
  • An "open account" is a common term in business, finance, and commerce. It describes a trust-based financial relationship between a seller and a reliable customer. The seller "opens" an account for the buyer, allowing them to receive goods or services now and pay later according to agreed terms (e.g., net 30 days).
Examples
  • Noun:
    • The supplier offered us an open account, so we can receive the materials now and pay the invoice next month.
    • Managing our open accounts carefully is crucial for the company's cash flow.
Advanced Usage
  • "To sell on open account": This phrase describes the seller's action of extending this type of credit.
    • We only sell on open account to established customers with good credit histories.
  • "Open account trade": Refers to international trade transactions conducted on open account terms, which carries more risk for the exporter.
    • Open account trade is becoming more common, but it requires thorough risk assessment.
Variants and Related Words
  • Open-account (adjective): Used to describe transactions or terms involving this credit method.
    • We have an open-account agreement with our main distributor.
  • Account: A record of financial transactions; a contractual relationship with a bank or business.
  • Credit account: A broader term similar to an open account.
Synonyms
  • Credit arrangement
  • Charge account (though often used for consumer retail)
  • Book credit
Antonyms
  • Cash on delivery (COD): Payment is required at the time of delivery.
  • Prepayment: Payment is required before goods or services are provided.
  • Closed account: An account that is no longer active or available for use.
Related Phrases
  • Terms of payment: The specific conditions (like "net 30") under which an open account operates.
  • Outstanding invoice: An invoice from an open account that is past due or not yet paid.
  • Credit limit: The maximum amount of credit extended under an open account.
open account

A customer uses their open account to purchase supplies.

Noun
  1. an unpaid credit order
  2. credit extended by a business to a customer

Từ đồng nghĩa