This was a case study of Kenya Literature Bureau (KLB), one of the successful commercial State Corporations in Kenya. KLB is a leading publisher and printer in Kenya and the region. The purpose of this study was to determine the effect of Credit Approval Process on the Management of Account Receivables in State Corporations in Kenya. The study recommended that even as organizations strive to increase their revenues through increased sales, equal attention must be dedicated towards converting this revenue into cash. The study also recommended that Sound credit policies must be firmly administered to facilitate this. It also recommended that to be relevant and worthwhile, a credit policy must be current, not out of date.