The adjusting entry to record the salaries earned due to employees for services provided but unpaid at the end of the accounting period affects the accounts in which of the following ways?
A) Debit Salaries Expense and credit Salaries Payable.
B) Debit Salaries Payable and credit Salaries Expense.
C) Debit Cash and credit Salaries Expense.
D) Debit Accrued Salaries and credit Salaries Payable.
E) Debit Salaries Expense and credit Cash.

Question

Quizplus · Accepted Answer

The adjusting entry to record the salaries earned by employees but unpaid at the end of the accounting period is typically made by debiting Salaries Expense (an income statement account) and crediting Salaries Payable (a liability account). This entry allows the company to recognize the expense in the current accounting period, even though payment of the salaries will not be made until a later date. Option A correctly shows this entry. Options B, C, D, and E are not the correct accounts to be debited and credited with this adjusting entry.

The Adjusting Entry to Record the Salaries Earned Due to Employees