Increase In Accounts Payable

Increase In Accounts Payable

Increase In Accounts Payable

oboloo’s Glossary

Increase in Accounts Payable is defined as an increase in the total amount of money owed to a creditor arising from the purchase of goods or services on credit. This increase represents a liability on the part of the organization and requires that it repay the debt within an established agreement. An increase in accounts payable is recorded as a debit to the accounts payable account and a credit debited to the cash account.