The payment of expenses should be recorded with a credit to:

Name: The payment of expenses should be recorded with a credit to:
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The payment of expenses represents an outflow of cash from the business, which should be recorded with a credit to the Cash account. This reduces the amount of cash on hand and reflects the decrease in the company's liquid assets. Dividends, Common shares, and Accounts Receivable are not relevant in this context.

The Payment of Expenses Should Be Recorded with a Credit