A business makes a cash payment of $12,000 to a supplier for supplies purchased two weeks earlier.Which of the following accounts is debited?

Question

Quizplus · Accepted Answer

When a business makes a cash payment on an account payable (a liability for supplies purchased on credit), the accounts payable account is debited to decrease the liability. Cash is credited to reflect the outflow of cash.

A Business Makes a Cash Payment of $12,000 to a Supplier