1. What does it mean to borrow from accounts payable and loan from accounts payable?

Debiting accounts payable and lending accounts payable are to transfer the money owed to Company A on credit to Company B's name. In the actual operation of the company, it often happens that the company owes money on credit, and there are many units that owe credit. Some units have changed their names, and the money on credit from the original unit has not been settled and needs to be transferred to the new unit.

Sometimes the company name is unclear, and the name of the credit unit is accidentally remembered during accounting due to carelessness. Later, it is discovered during review or reconciliation that the name is changed to the correct payable unit.

2. What does debit: expenditure and credit: accounts payable mean?

It may be two situations:

1. Purchase of services such as maintenance , manufacturing overhead is recorded in cost, the correct entry should be:

Debit: manufacturing overhead

Credit: accounts payable

2. Bought materials, directly Skipping the warehouse entry and exit process, the correct entry should be:

Debit: Raw Materials

Credit: Accounts Payable

Debit: Production Cost-Materials< /p>

Loan: raw materials

You will understand after looking at the entries

3. What does borrowing from accounts payable mean?

Debiting accounts payable and lending accounts payable are to transfer the money owed to Company A on credit to Company B's name. In the actual operation process of the company, it often happens that the company owes money on credit, and there are many units that owe credit. Some units have changed the single payment and have not settled it, and need to transfer it to a new unit. The wrong name of the credit unit was later discovered during audit or reconciliation and was changed to the correct payable unit.

IV. What does borrowing from accounts payable and borrowing from other payables mean?

Borrowing from accounts payable and borrowing from other payables means using controllable funds to repay the payables. According to the query of relevant information, borrowing from accounts payable and borrowing other payables refers to a financial activity in which an enterprise uses part of its controllable funds to repay accounts payable in order to meet business development and achieve rational use of capital flow. It takes the form of a loan to Suppliers and other external financing methods are used to repay debt accounts such as accounts payable and employee salaries payable. This method allows enterprises to obtain funds from the outside at low cost, promptly solves the problem of inflexible corporate capital arrangements, and improves the competitiveness of enterprises.