Final answer:
The Debit: Payables and Credit: Cash at bank accounting entries represent a payment made to a supplier for goods received on credit, reflecting the ease of transactions through banking.
Step-by-step explanation:
The transaction represented by the accounting entries Debit: Payables, and Credit: Cash at bank is a payment made to a supplier who supplied goods on credit.
Banks play a crucial role in facilitating economic transactions for both individuals and businesses. Through the use of bank accounts, the process of buying and selling goods and services, as well as handling payments and receiving loans, becomes seamless and efficient. The ability for businesses to store funds and make transactions through various means such as direct withdrawals, checks, or debit cards replaces the cumbersome need to handle cash for every payment, reducing transaction costs.
This convenience is reflected in the accounting scenario where a business settles its payables to a supplier by crediting its cash at bank, indicating that funds are being transferred out of the business's account to meet its obligations.