As each payroll transaction is processed,the system should also
A)allocate labor costs to appropriate general ledger accounts
B)use cumulative totals generated from a payroll to create a summary journal entry to be posted to the general ledger
C)both A and B above
D)The HRM system should not perform either activity A or B.

Question

Quizplus · Accepted Answer

Both options (A) and (B) should be performed by the system to ensure accurate and efficient record-keeping of labor costs in the general ledger. Allocating the costs to appropriate accounts helps to identify expenses and track labor costs, while creating a summary journal entry ensures that the transactions are accurately reflected in the general ledger. Therefore, C is the best choice.

As Each Payroll Transaction Is Processed,the System Should Also