debt – n : borrowed funds; money, goods or services owed by one person or organization to another.  From a finance/accounting standpoint, debt is money owed to another party (known as a creditor), whether that party is a bank (in which case the debt is a loan), an institutional investor (bonds or notes), or a supplier (supplier-extended credit terms). Accounts payable (A/P) (i.e., outstanding bills, or money owed for goods or services rendered) are not considered debt in accounting parlance. Debt can take the form of loans, bonds, notes, credit cards, equipment financing, and a number of other instruments.

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Adapted from "The CompanyCrafters Entrepreneur's Dictionary"
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