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Recording the payoff of accounts payable
ОглавлениеSuppose that one thing you do at the end of the day is write a check to pay off the accounts payable. The accounts payable are the amounts that you owe vendors — probably the suppliers from which you purchased the hot dogs and buns. To record the payoff of accounts payable, you debit accounts payable for $2,000 and credit cash for $2,000, as shown in Table 2-13.
TABLE 2-13 Journal Entry 9: Recording the Payoff of Accounts Payable
Account | Debit | Credit |
---|---|---|
Accounts payable | $2,000 | |
Cash | $2,000 |