Emerald Ltd has the following payroll deductions for the week ended 31 March: $20,000 medical fund deductions; $18,000 pay-as-you-go withheld tax deductions. What is the journal entry to record the obligation for these deductions?

Question

Quizplus · Accepted Answer

A debit to salaries expense is made for the total of the deductions. An entry is then made to each payable account for the relevant amount.

Emerald Ltd Has the Following Payroll Deductions for the Week