The Salaries Payable account has total debit postings of $800 and credit postings of $1,500.The ending balance of the account is:
A)$2,300 debit.
B)$700 credit.
C)$2,300 credit.
D)$700 debit.

Question

Quizplus · Accepted Answer

Salaries Payable is a liability account, and a credit balance indicates that the company owes money to its employees for salaries. Since there are credit postings of $1,500 and debit postings of $800, we can subtract the debits from the credits to get the ending balance: $1,500 - $800 = $700 credit. Therefore, the best choice is B.

The Salaries Payable Account Has Total Debit Postings of $800