The adjusting entry at the end of an accounting period to record the unpaid salaries of employees for work provided is:
A) Debit Salaries Payable and credit Salaries Expense.
B) Debit Unpaid Salaries and credit Salaries Payable.
C) Debit Cash and credit Salaries Expense.
D) Debit Salaries Expense and credit Salaries Payable.
E) Debit Salaries Expense and credit Cash.

Question

Quizplus · Accepted Answer

The adjusting entry at the end of an accounting period to record the unpaid salaries of employees for work provided is to debit Salaries Expense and credit Salaries Payable. This is because the company has incurred an expense for the work provided by the employees but has not yet paid their salaries, so the amount owed must be recorded as a liability. The journal entry will increase the Salaries Expense account and increase the Salaries Payable account, reflecting the amount owed to employees for their work.

The Adjusting Entry at the End of an Accounting Period