When cash is paid to settle the net wages and salaries due to employees the correct double entry to record this transaction is Debit wages control account, Credit bank.

Question

Quizplus · Accepted Answer

When cash is paid to settle net wages and salaries, the wages control account (which represents the amount owed to employees) is debited to decrease the liability, and the bank account is credited to reflect the outflow of cash.

When Cash Is Paid to Settle the Net Wages and Salaries