Customer Statement

A customer statement is a document that summarizes a customer's account activity, including invoices, payments, and outstanding balances. It is typically sent on a regular basis, such as monthly or quarterly, to help customers keep track of their account activity and payments.

The customer statement provides a summary of all transactions between the seller and the customer during the statement period. It includes information such as the invoice number, date, and amount, as well as any payments or credits applied to the account. The statement also provides the current account balance, including any outstanding balances from previous periods.

Customer statements are an important tool for managing accounts receivable, as they provide customers with a clear summary of their account activity and help to promote timely payments. By sending regular statements, sellers can keep customers informed about their account status and encourage them to make payments on time.

In addition to providing a summary of account activity, customer statements may also include other information, such as sales promotions, new products or services, or company news. This can help to build positive relationships with customers and promote future sales.

Overall, customer statements are an important component of effective accounts receivable management, as they provide customers with a clear summary of their account activity and help to promote timely payments. By regularly sending statements and keeping customers informed, sellers can improve their cash flow, reduce the risk of bad debts, and maintain positive relationships with their customers.

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