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.
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Explanation:

Accounts payable represent money a business owes to external parties (suppliers, vendors), so the correct preposition is "to". In accounting, obligations owed by a business are defined as liabilities, which are amounts the business is required to pay in the future, so accounts payable falls under this category.

Answer:

1. to
2. liability