Question

fill in the blank question
accounts payable refer to obligations owed (by/to) the business and are classified as a(n) (asset/liability/expense) account.
need help? review these concept resources.
read about the concept

Explanation:

Accounts payable represent amounts a business owes to external parties (suppliers, vendors), so the correct preposition is "by". In accounting, obligations owed by a business are categorized as liabilities, which are amounts the entity is required to pay in the future, distinguishing them from assets (owned resources) and expenses (costs incurred for operations).

Answer:

1. by
2. liability