Accounts Reconciliation Blog

There are many things that you have to know when you open your own business. Knowing your target market, handling the IRS and setting up your accounting are a few. My biggest question was can someone please define accounts payable?

With some research, I could easily define accounts payable. Accounts payable is what the company owes to suppliers, individuals and other companies for the purchase of their product or service on credit. When I opened my business, my contractor gave me 15 days to pay him after he had finished constructing my store. That amount I owe him is part of my accounts payable. It is my duty to settle all accounts payable. When the accounts payable are all paid, my cash on hand will naturally decrease.