Utilities Expense would be debited when a company receives a bill for utilities that it will pay later.

Question

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When a company receives a bill for utilities that it will pay later, it needs to record the expense in its accounting records. This is achieved by debiting the Utilities Expense account, which increases the expense balance. The corresponding credit entry is made to Accounts Payable or Cash, depending on whether the company plans to pay the bill immediately or at a later date.

Utilities Expense Would Be Debited When a Company Receives a Bill