Accounts payable (AP) accounts for the amount of a company's short-term debt to suppliers incurred from purchasing goods or services in credit. On the balance sheet, accounts payable is under the ...

Learn the key differences between accrued expenses and accounts payable. Understand how businesses account for these costs and manage their financial obligations.

As a short-term liability, corporations will typically pay off accounts payable (AP) in less than 12 months. If companies fail to pay the debt in time, they may fall into debt and default. Throughout ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Charlene Rhinehart is a CPA , CFE, chair of ...

Accounts payable represents money a company owes to suppliers for goods or services bought on credit. Effective management of accounts payable helps maintain cash flow and build supplier relationships ...