The Accounts Payable Account in the General Ledger Is

question 101

Multiple Choice

The Accounts Payable account in the general ledger is:

• A) The subsidiary account to the purchases journal.
• B) A controlling account for the subsidiary accounts payable ledger.
• C) Part of a special journal.
• D) The account that controls the purchases journal.
• E) Part of a subsidiary ledger.

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Definitions:

Mortgage Payments

These are regular payments made by a borrower to a lender, typically consisting of both principal and interest, for the loan used to purchase property.

Present Value

The present-day valuation of a future lump sum or cash flow sequence, taking into account a defined rate of return.

Discounting Periods

The intervals at which cash flows are discounted back to their present value in financial analysis.

Annual Annuity

A financial product providing a series of payments made at equal intervals over a set period, typically one year.