Accounts payable are a component of:
A) Net working capital.
B) Current assets.
C) Long-term debt.
D) Fixed assets.
E) Shareholders' equity.

Question

Quizplus · Accepted Answer

Accounts payable are considered a component of net working capital, as they are a current liability that companies must settle within a year. Net working capital is calculated as current assets minus current liabilities, which includes accounts payable.

Accounts Payable Are a Component Of