Do you record payments to suppliers on the income statement?
submitted by Peg Leyge

Undeniably_The_Frog

No, you wouldn't record payments to suppliers on the income statement. Those payments are part of your cash flow and are recorded on the balance sheet or cash flow statement, not the income statement.

Wheres_Kevin

Payments to suppliers are not recorded as expenses on the income statement when paid. Instead, the expense is recognized when the goods are used, which might be recorded as cost of goods sold or operating expenses, depending on what the goods are.

Baily K

Nope, payments to suppliers don't get recorded directly on the income statement. They're usually shown in the expenses when the related inventory is used. The actual cash movement shows up on the cash flow statement.