When a company pays for services received using a credit card,it should credit Accounts Payable.

Name: When a company pays for services received using a credit card,it should credit Accounts Payable.
Brand: Quizplus
Rating: 4.8 (38 reviews)

Question

Quizplus · Accepted Answer

When a company pays for services received using a credit card, it is essentially borrowing money from the credit card company to pay for the services. Therefore, the amount owed to the service provider is considered a liability or Accounts Payable, which should be credited when paid using a credit card.

When a Company Pays for Services Received Using a Credit