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Q The accounts payable ledger shows a negative bolance after closing, indicating an overpayment to a vendor. What shoulld be the company's hert step to
Q The accounts payable ledger shows a negative bolance after closing, indicating an overpayment to a vendor. What shoulld be the company's hert step to resolve this?
Contact the vendor for reconciliation.
Reopen the ledyer and make correcting entries.
Adjust retained earrings to reflect the overpayment
Consider it a prepoid expense
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Financial Accounting
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel
10th edition
978-1119298229, 1119298229, 978-1119305828, 1119305829, 978-1119305736
