Accounts Payable

Definition

Short-term debt that a company owes to its suppliers for products received before payment is made. Accounts payable entries are listed under "Current Liabilities" in the business' balance sheet and the items are removed once the account has been paid.

Illustrative case law

See, e.g. United States v. Richman, 93 F.3d 1085 (2d Cir. 1996).

See also