Due From Account


DEFINITION of 'Due From Account'

An asset account in the general ledger that indicates the amount of deposits currently held at another company. The "due from" account is typically used in conjunction with a "due to" account to reconcile which accounts the money is due from and due to.

BREAKING DOWN 'Due From Account'

The general ledger is the centralized source that contains all the financial accounts for a company. It contains debit and credit accounts, including the due from account, which is a debit account. The due to account is also sometimes referred to as intercompany receivables in the chart of accounts.

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    A profit and loss (P&L) statement, or balance sheet, is essentially a snapshot of a company's financial activity for ... Read Full Answer >>
  3. How do dividends affect the balance sheet?

    Dividends paid in cash affect a company's balance sheet by decreasing the company's cash account on the asset side and decreasing ... Read Full Answer >>
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