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 Cash Flows

Balance Sheet

Income Statement

Statement of Retained Earnings

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Verified step by step guidance

Understand the concept of accounts payable: Accounts payable represents the amount a company owes to its suppliers for goods or services purchased on credit. It is a liability because it reflects an obligation to pay in the future.

Identify the financial statement that reports liabilities: The Balance Sheet is the 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 is categorized: Accounts payable is classified as a current liability on the Balance Sheet because it is typically due within one year.

Eliminate other financial statements: The Statement of Cash Flows tracks cash inflows and outflows, the Income Statement reports revenues and expenses, and the Statement of Retained Earnings shows changes in retained earnings. None of these directly list accounts payable as a line item.

Conclude that accounts payable appears on the Balance Sheet under the liabilities section, as it represents amounts owed by the company to creditors.