Final answer:
An unwritten promise to pay for property, merchandise, or services on credit is known as an account payable. This term signifies a short-term debt that a business owes to its suppliers, differentiating it from the immediate funds transfer of a credit card.
Step-by-step explanation:
An unwritten promise to pay a supplier for property or merchandise purchased on credit or for a service rendered is known as an account payable. This term refers to the amount of money owed by a company to its creditors or suppliers for goods and services purchased on credit. Essentially, account payable is considered a short-term debt during the course of business. On the other hand, a credit card is a form of credit that involves an immediate transfer of funds from the credit card company to the seller, with the user owing the money to the credit card company at the end of the billing cycle; thus, a credit card can be viewed as a short-term loan. The distinction is important as credit implies going into debt, and the promise to pay establishes a business's liability.