Credit balance Journal entries for accouts payable Bank charges journal entries

Question

Accepted Answer

Journal entries for credit balance, accounts payable, and bank charges.

Credit balance is an amount owed to the company by a vendor or customer.
Journal entries for accounts payable involve debiting accounts payable and crediting the corresponding expense account.
Bank charges journal entries involve debiting bank charges and crediting cash or bank account.
If there is a credit balance in accounts payable, it can be recorded by debiting accounts payable and crediting the vendor's account.
If there is a credit balance in a customer's account, it can be recorded by debiting the customer's account and crediting sales revenue.

Accepted Answer

An Account Payable entry must be created for every transaction, even if the sums involved are the same for both credit and debit. So what is the Accounts Payable journal entry? A journal entry for Accounts Payable marks the trade of the Accounts Payable by listing all expenditures deducted from the total amount that must be paid.

Credit balance Journal entries for accouts payable Bank charges journal entries

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