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The balance in Accounts Payable is decreased with a _ entry? 1. Debit 2. Credit

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Question added by ryad abdalla , chief of accounts , Evntoo
Date Posted: 2015/11/05
Muhammad Ramzan Tufail  ACCA
by Muhammad Ramzan Tufail ACCA , Assistant Finance Manager , Eltizam Asset Management Group

Debit,,,

 

When we buy anything on credit from Supplier, at that time, we create an accounts payable as follows:

Dr. Purchases

Cr. Accounts Payable.

 

And when we paid against this,

then,

Dr. Accounts Payable

Cr. Cash/Bank.

 

Michael Lagunday
by Michael Lagunday , Accounts Assistant , Invest Group Overseas LLC

My answer is1. Debit.

Accounts payable is decrease by a debit.

 

Syed Aswad
by Syed Aswad , Commercial Executive , Nokia Siemens Networks c/o kelly services

When we credit the payer any amount the balance of accounts payable is decreased 

UNAIS CHAYILOD
by UNAIS CHAYILOD , ACCOUNTANT , Ideal Global Trading Co LLC

Debit Side ....Creditors Is Payable ....Creditors debit the entry decrease creditors balance

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