JournaldrillPaying an account payable
A journal entry exercise from Journaldrill. Solve it with an account picker and debit and credit fields in your browser, and it is checked the moment you submit.
The task
Lakeside Cleaning Co. bought cleaning supplies on account last month. Today it pays the supplier the full $1,750 it owes.
What this exercise teaches
Paying the supplier removes the liability, so Accounts Payable is debited. Cash goes down, so it is credited. Supplies is not touched again because the supplies were recorded when they were bought.
A hint if you get stuck
The purchase was already recorded last month, so today only the liability and the asset used to settle it change.
This exercise is part of Pro
Pro unlocks all 54 exercises, with worked solutions and progress saved to your account. The free exercises work without an account.
You create a free account first, so Pro is attached to it.
Monthly is charged today and then every month until you cancel, in one click from your account page. Lifetime is one payment with no renewals. Full refund within 14 days of paying.