If Accounts Payable has been credited, it is most likely that:
A) a collection from a customer was made.
B) a service was provided on account.
C) the company made a purchase and will pay for the purchase next month.
D) None of these is possible.

Question

Quizplus · Accepted Answer

When Accounts Payable is credited, it indicates that the company has incurred a liability, typically from purchasing goods or services on credit, which it will pay for in the future.

If Accounts Payable Has Been Credited, It Is Most Likely