Salary Expense on the income statement was $264,780 for the year ended December 31,2017.The Salary Payable account decreased $24,370 during the same period.The amount of cash payments to employees for the year ended December 31,2017,is:

Question

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The Salary Expense on the income statement was $264,780, which represents the total salary incurred by the company during the year. However, the Salary Payable account decreased by $24,370, which means that the company paid some of the salaries that were previously owed.

To find out how much cash payments were made to employees during the year, we need to add the decrease in the Salary Payable account to the Salary Expense.

$264,780 + $24,370 = $289,150

Therefore, the correct answer is A) $289,150.

Salary Expense on the Income Statement Was $264,780 for the Year