16 October 2021
Same as the difference between Purchase & Expense. Purchases usually refers in business to goods or possibly services that are to be sold on or used directly in production of the business outputs Whereas expenses refers to other business costs such as wages, overheads, administration and financial costs, that are necessary but not directly related to the output. Thus supplier of these goods or services related to purchase are purchase creditors. While supplier of services related to expenses are creditors of expenses.
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