Mountain Valley Sales, Inc. has gross pay for March of $45,000. Which of the following is included in the journal entry to record salaries expense?

Question

Quizplus · Accepted Answer

Salaries expense is an expense account, therefore it is debited. Cash is not mentioned as a specific account in the question, therefore it is not included in the journal entry. Salaries and Wages Payable is a liability account used when salaries are to be paid in a later period. Therefore, it is not included in the journal entry. The corresponding credit entry for salaries expense is Salaries and Wages Payable. However, this account is not mentioned in the question, therefore the answer is D, debit Salaries and Wages Expense.