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    jaxl Posts: 1, Reputation: 1
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    Sep 13, 2007, 04:18 AM
    Retained Earnings
    Hi,

    To be clear, we have found that our accts payable aging shows invoices no longer necessary to pay. However, these invoices originated years ago and affected expenses. Is it appropriate to debit accounts payable liability and credit retained earnings? I don't think it's appropriate to credit the same expense account in our current year.

    Thanks!

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