Accounts Payable had a normal starting balance of $750. There were debit postings of $600 and credit postings of $350 during the month. The ending balance is
A) $500 credit.
B) $1,000 debit.
C) $500 debit.
D) $1,000 credit.

Question

Quizplus · Accepted Answer

Accounts Payable is a liability account, so it normally has a credit balance. Starting with a $750 credit balance, adding credit postings of $350 increases the balance to $1,100. Debit postings of $600 decrease the balance, resulting in an ending balance of $500 credit.

Accounts Payable Had a Normal Starting Balance of $750