A company shows a balance in Salary Payable of $40k at the end of the month. The next payroll amounting to $$45k is to be paid in the following month. What will be then entry to record the payment salary?

Question

Rylan Hendrix

Business

26 October, 18:19

A company shows a balance in Salary Payable of $40k at the end of the month. The next payroll amounting to $$45k is to be paid in the following month. What will be then entry to record the payment salary?

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Answers (1)

Know the Answer?

Dane · Answer 1

Answer: The journal entry is as follows:

Explanation:

Given that,

Balance in salary payable = $40000

Next payroll in the following month = $45000

So, the journal entry to record the payment salary is as follows:

Salaries and Wages Expense A/C Debit 5000

Salaries and Wages Payable A/C Debit 40000

To Cash A/C 45000

(entry to record the payment salary)