The amount owed by an entity when it makes a purchase on account is termed a(n):
A)accounts receivable.
B)accounts payable.
C)note receivable.
D)note payable.

Name: The amount owed by an entity when it makes a purchase on account is termed a(n): A)accounts receivable. B)accounts payable. C)note receivable. D)note payable.
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Question

Quizplus · Accepted Answer

Accounts payable refers to the amount owed by an entity to its suppliers or creditors when it purchases goods or services on credit.

The Amount Owed by an Entity When It Makes a Purchase