Accounts Reconciliation Blog

In business as in all walks for life debts must be paid off on time. In big businesses the accounts payable department will make payments for bills and suppliers. This is an accounting entry found on a balance sheet under the heading of current liabilities. They are often referred to as payables for short.

Payables are not limited to companies, however. In households, people are also obligated to pay bills for goods or services. Some examples of these are phone, gas, cable, and electric bills provided by creditors. Each of these services are usually provided first and the creditors bill the customers after the goods or services are delivered.