Question

Total of Bills Payable Book is posted to the ledger ___________.

• A. on the debit side of bills payable A/c
• B. on the credit side of bills payable A/c
• C. Either (a) or (b)
• D. None of the above

Answer 1

Answer: (B)

on the credit side of bills payable A/c

The total of “Bills Payable Book” shows the total amount of bills accepted, which is posted on the Credit side of “Bills Payable Account”. Bills Payable are liability for business. Thus, show credit balance.