Final answer:
Accounts payable is a liability account with a normal credit balance, recorded on the right side of a T-account, which ensures the balancing of the accounting equation.
Step-by-step explanation:
Accounts payable is a liability account and has a normal credit balance. In double-entry bookkeeping, liabilities are recorded on the right side of the T-account. The T-account is a visual representation of a balance sheet, which has a two-column format. The credit balance in the accounts payable reflects the amount the company owes to its suppliers or creditors for goods or services received that have not yet been paid for. Essentially, this balance increases with credit entries when purchases are made on account and decreases with debit entries when payments are made to creditors, maintaining the overall balance of the accounting equation, where assets equal liabilities plus equity.