Which of the following entries would record the payment of a utility bill?
A) Utilities Expense, debit; Cash, credit.
B) Cash, debit; Utilities Expense, credit.
C) Utilities Expense, debit; Accounts Payable, credit.
D) Accounts Payable, debit; Utilities Expense, credit.

Question

Quizplus · Accepted Answer

When a utility bill is paid, the company incurs an expense, so Utilities Expense is debited to reflect the increase in expenses. Cash is credited because the payment of the bill decreases the company's cash balance.

Which of the Following Entries Would Record the Payment of a Utility