The major balance sheet account in the acquisition and payment cycle is
A)accounts payable.
B)purchases.
C)merchandise inventory.
D)common stock.

Question

Quizplus · Accepted Answer

The major balance sheet account in the acquisition and payment cycle is accounts payable. This account represents the amount owed to suppliers for goods and services received but not yet paid for. The acquisition and payment cycle involves the purchasing of goods and services, recording those purchases, and paying vendors for those purchases. Accounts payable is the primary account affected by these transactions, making it the major balance sheet account in this cycle.

The Major Balance Sheet Account in the Acquisition and Payment