UK Accounting Glossary
A business entity takes delivery of goods or services and is allowed to make payment at a later date.
To purchase something with the promise that you will pay in the future. When buying something on credit, you acquire the item immediately, but you pay for it at a later date.
That section provides an detailed analysis of the process that market participants must undertake to enter into a Credit purchase or sales contract with Microsoft.
Payable is a liability that requires the purchaser to make a future payment on credit purchase.
The only difference between a cash purchase and a credit purchase is the timing of the payment. A cash purchase is a transaction whereby the payment is settled immediately whereas a payment for a credit purchase is settled at a later date.
To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.
Definitions for Credit Purchase are sourced/syndicated from:
This glossary post was last updated: 23rd December 2018.