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

Accounting conventions, Accounting conventions The phrase 'convention' ...

Accounting conventions The phrase 'convention' is used to signify customs or ethnicity as a guide to the research of accounting statements. A variety of accounting conventions

Show journalizing adjusting entries, Q. Show Journalizing adjusting entries...

Q. Show Journalizing adjusting entries? Subsequent to completing Micro Train's financial statements from the work sheet you should enter the adjusting entries in the general jo

Income Statement, Give the statement classification of each income statemen...

Give the statement classification of each income statement account

What is merchandise returns, What is Merchandise returns A Return is...

What is Merchandise returns A Return is when a customer returns to the seller part or all items purchased. An Allowance occurs when seller grants a customer a price reductio

Demonstrate perpetual inventory procedure, Q. Illustrate perpetual inventor...

Q. Illustrate perpetual inventory procedure? Data from Exhibit serves like the basis for some of the entries. You would debit the Merchandise Inventory account to record the en

Balance sheet, A bank statement showed an overdraft of $750. A cheque issue...

A bank statement showed an overdraft of $750. A cheque issued in payment of rent for $570 had not been presented, and a cheque for $624 received was omitted from the statement. The

Determine the additional cash, Determine the additional cash a company coul...

Determine the additional cash a company could obtain from its working capital accounts if it can improve its average collection period by three days and inventory turnover by 0.5 t

Case, contributed her $10000 in exchange for $1000 of the shares. this was ...

contributed her $10000 in exchange for $1000 of the shares. this was deposited into a new corporate bank account she set up with TD canada trust

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