Explain accounts payable, Accounting Basics

Assignment Help:

Q. Explain Accounts payable?

Accounts payable are amounts owed to suppliers meant for goods or services purchased on credit. Accounts payable are usually due in 30 or 60 days and do not bear interest. In the balance sheet the accounts payable amount is the total of the individual accounts payable to suppliers shown in a subsidiary ledger or file.

Notes payable are unconditional written promises by the company to pay a specific amount of money at a certain future date. The notes may happen from borrowing money from a bank from the purchase of assets or from the giving of a note in settlement of an account payable. Usually only notes payable due in one year or less are included as current liabilities.

Salaries payable are amounts owed to employees intended for services rendered. The company hasn't paid these salaries by the balance sheet date because they aren't due until later.

Sales taxes payable are the taxes a company has collected from customers however not yet remitted to the taxing authority typically the state. Other accrued expenses might comprise income taxes payable, taxes withheld from employees and interest payable.


Related Discussions:- Explain accounts payable

Example of perpetual inventory procedure, Q. Example of perpetual inventory...

Q. Example of perpetual inventory procedure? The Perpetual inventory procedure Companies use perpetual inventory procedure in a range of business settings. In the past companie

Perpetual and periodic inventory method, Perpetual and Periodic inventory ...

Perpetual and Periodic inventory                                                                             a)  Describe the difference between the perpetual inventory method

Define bear market, Bear Market Bear market is a market in which stock...

Bear Market Bear market is a market in which stock prices are expected to fall.

State the classified balance sheet, State the classified balance sheet ...

State the classified balance sheet ASSETS Current Assets are cash and any other assets which are expected to be realized in cash, sold, used up or expire within one year.

Explain about accounting transaction, Q. Explain about Accounting transacti...

Q. Explain about Accounting transaction? An accounting transaction is a business event or activity that causes a measurable change in the accounting equation Assets = Liabiliti

Audit Reports, Why it is important for independent auditor to be a member o...

Why it is important for independent auditor to be a member of a professional body?

Function and scope of the accounting standards board, Function and scope of...

Function and scope of the Accounting Standards Board: The major function of ASB is to originate accounting standards so that the Council of the Institute in India may set up su

Birch issued 200 shares of $12 par common stock, Birch issued 200 shares of...

Birch issued 200 shares of $12 par common stock in exchange for a piece of equipment with a current market value of $3,000.Whichof the following is not part of the journal entry

Nature and purpose of closing entries, Closing Entries based accounting que...

Closing Entries based accounting question a)  Describe the nature of Closing Entries.  I.e. what is the purpose of closing entries?                     b)  For each of the f

Explain about traditional accounting theory, Q. Explain about Traditional a...

Q. Explain about Traditional accounting theory? Conventional accounting theory consists of underlying assumptions rules of measurement major principles and modifying convention

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd