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Let me describe in detail. For Example Mr. A has purchased some goods from Mr. B worth 500 $ and Mr. A has written a legal document (Called bill of exchange) on Mr. B that he will pay to him 500 $ on a particular date and Mr. B has accepted it. This document (i.e. Bill) is a Bill receivable for Mr. A and Bill Payable for Mr. B. Now on the other hand all the credit sales are not made only on behalf of bills of exchange, some amount of sales is without bills which are called Trade Debtors. Accounts Receivables is the total sum of Bills Receivables and Trade Debtors.
Accounts receivable is owes by customers based on invoices issued to them. On the other hand bills receivable are also known as notes receivable. A note receivable is a written promise from a client or customer to pay a definite amount of money on a specific future date.
