Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

1. Introduction to Accounting

The Financial Statements

Financial Accounting

1. Introduction to Accounting

The Financial Statements

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Multiple Choice

Accounts payable appear on which of the following financial statements?

Statement of Retained Earnings

Income Statement

Balance Sheet

Statement of Cash Flows

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Verified step by step guidance

Understand the concept of accounts payable: Accounts payable represent the amounts a company owes to suppliers for goods or services received but not yet paid for. It is a liability and part of the company's obligations.

Identify the purpose of the Balance Sheet: The Balance Sheet is a financial statement that provides a snapshot of a company's financial position at a specific point in time. It includes assets, liabilities, and equity.

Recognize where accounts payable fit: Since accounts payable are liabilities, they are reported under the 'Liabilities' section of the Balance Sheet. This section shows what the company owes to external parties.

Eliminate other financial statements: The Statement of Retained Earnings focuses on changes in retained earnings, the Income Statement reports revenues and expenses, and the Statement of Cash Flows tracks cash inflows and outflows. None of these statements include accounts payable as a primary component.

Conclude that accounts payable appear on the Balance Sheet, as it is the financial statement designed to report liabilities like accounts payable.