2. Advance payment refers to the purchase contract of the enterprise. Money paid in advance to the buyer.
3. Prepayment refers to a creditor's right that the buyer and the seller agree to prepay part of the payment to the supplier. Prepaid accounts generally include prepaid goods and prepaid purchase deposits. The prepayments of construction enterprises mainly include prepayments for construction projects and prepayments for materials. Advance payment is the money paid to suppliers and customers in advance, and it is also an integral part of the company's creditor's rights.