BUSINESS ADMINISTRATION
PRINCIPLES AND PRACTICE OF MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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cash record
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payroll record
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accounts payable record
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accounts receivable record
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Detailed explanation-1: -An accounts receivable record identifies the companies from which credit purchases were made and the amount purchased, paid, and owed.
Detailed explanation-2: -Accounts payable (AP) represents the amount that a company owes to its creditors and suppliers (also referred to as a current liability account). Accounts payable is recorded on the balance sheet under current liabilities.
Detailed explanation-3: -How is Accounts Payable Recorded on a Balance Sheet? Accounts payable is listed on a businesses balance sheet, and since it is a liability, the money owed to creditors is listed under “current liabilities”. Typically, current liabilities are short-term liabilities and less than 90 days.
Detailed explanation-4: -Accounts payable is a liability since it is money owed to creditors and is listed under current liabilities on the balance sheet. Current liabilities are short-term liabilities of a company, typically less than 90 days. Accounts payable are not to be confused with accounts receivable.