Cash was paid by Janer's Cleaning Service to creditors on account. Which of the following entries for Janer's Cleaning Service records this transaction?

Question

Quizplus · Accepted Answer

Cash was paid to creditors on account, which means Janer's Cleaning Service reduced its accounts payable balance by paying the amounts owed to creditors. Therefore, the entry should be Accounts Payable, debit and Cash, credit.

Cash Was Paid by Janer's Cleaning Service to Creditors on Account