A boat manufacturer orders 50 units of fiberglass material and promises to pay the supplier at a later date.The boat manufacturer will record the amount to be paid as:

A) a secured loan.
B) accounts receivable.
C) a serial bond.
D) accounts payable.
E) a Treasury bill.

Question

Stephany Raluto · Accepted Answer

Final Answer : D, Explanation :  The correct answer is accounts payable because this represents the amount the boat manufacturer owes to the supplier for the fiberglass material ordered on credit.

A boat manufacturer orders 50 units of fiberglass material and promises to pay the supplier at a later date.The boat manufacturer will record the amount to be paid as:

A) a secured loan.
B) accounts receivable.
C) a serial bond.
D) accounts payable.
E) a Treasury bill.

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Learning Objectives

Learning Objectives

Related questions

A boat manufacturer orders 50 units of fiberglass material and promises to pay the supplier at a later date.The boat manufacturer will record the amount to be paid as:A) a secured loan.B) accounts receivable.C) a serial bond.D) accounts payable.E) a Treasury bill.

Definitions

Learning Objectives

Learning Objectives

Related questions

A boat manufacturer orders 50 units of fiberglass material and promises to pay the supplier at a later date.The boat manufacturer will record the amount to be paid as:

A) a secured loan.
B) accounts receivable.
C) a serial bond.
D) accounts payable.
E) a Treasury bill.