accounts payable (A/P)
Definition
Unpaid bills. Accounts that are owed to suppliers (trade creditors) as distinguished from accrued interest, rent, salaries, taxes, and other such accounts. Accounts payable are shown under current (short-term) liabilities in the balance sheet. Lenders and investors examine the relationship of these accounts to the firm's purchases in order to judge the soundness of its day to day financial management.
accounts payable (A/P) is in the Accounting & Auditing, Banking, Commerce & Finance and Entrepreneurship, Management, & Leadership subjects.
accounts payable (A/P) appears in these other terms: accounts payable (A/P) to sales ratio, accounts payable (A/P) to total debt ratio
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