Accounts payable (A/P),
Definition of Accounts payable (A/P):
The company is indebted to its creditors.
Receipts without compensation. Accounts with suppliers (commercial lenders) against accrued interest, rent, wages, taxes and other accounts. Accounts paid to suppliers are shown in the balance sheet under current liabilities (current). Lenders and investors study the relationship between these accounts and corporate purchases to measure the power of financial management on a daily basis.
How to use Accounts payable (A/P) in a sentence?
- The payer is part of the florist bill that the company did not pay due to the constant need for more inventory.
- In the last report, it had only .5 8.52 per share of total liabilities, most of which were debt.
- When the balance of the accounts payable is cleared and all the suppliers receive their checks, the supply of products will continue.
- I have to work overtime this week to fulfill all our obligations and satisfy our suppliers.
Meaning of Accounts payable (A/P) & Accounts payable (A/P) Definition