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Ginger and Maryann are lost in the jungle, where the only things to eat are mangoes and fish. Ginger can gather mangoes faster than Maryann and can also catch more fish per hour than can Maryann. Therefore:
Accounts Payable
Liabilities of a business that represent amounts due to suppliers or creditors for goods and services received but not yet paid for.
Equipment
Tangible assets used in the operation of a business, such as machinery and office furniture, which are not intended for sale.
Prepaid Insurance
An asset account representing insurance payments made in advance for coverage extending beyond the current accounting period.
Accounts Receivable
Outstanding payments that a business is entitled to receive from its customers for delivered goods or services.
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