Which of the following is true about accounts payable? a) accounts payable are also called trade accounts payable. b) when accounts payable are recorded at the net amount, a purchase discounts account will be used. c) when accounts payable are recorded at the gross amount, a purchase discounts lost account will be used.

Teatro restoration, inc., begins renovating an old theater for urban edge productions, but after three months teatro demands an extra $250,000. urban edge agrees to pay. refer to fact pattern 13–4. if teatro says it is asking for the extra $250,000 because it has encountered extraordinary unforeseen difficulties that will add considerable cost to the project, the agreement is