Use this information to answer the following question. Baker Company has the following information for the pay period of January 1-15,2010.Payment occurs on January 20.
$\begin{array}{lrlr}
\text { Gross payroll } & \$ 16,000 & \text { Federal income taxes withheld } & \$ 1,800 \
\text { Social security and Medicare rate } & 7.65 \% & \text { Federal unemployment tax rate } & .8 \%\
\text { State unemployment tax rate}&5.4\%
\end{array}$
The entry on January 20 would be a debit to

Question

Use this information to answer the following question. Baker Company has the following information for the pay period of January 1-15,2010.Payment occurs on January 20.
$\begin{array}{lrlr}
\text { Gross payroll } & \$ 16,000 & \text { Federal income taxes withheld } & \$ 1,800 \
\text { Social security and Medicare rate } & 7.65 \% & \text { Federal unemployment tax rate } & .8 \%\
\text { State unemployment tax rate}&5.4\%
\end{array}$
 The entry on January 20 would be a debit to

Quizplus · Accepted Answer

The entry on January 20 would be to debit Salaries Payable (which represents the amount owed to employees for their work during the pay period) and credit Cash (which is the amount paid to the employees on January 20). This entry reflects the payment of the salaries earned by employees during the January 1-15 pay period.

Use This Information to Answer the Following Question The Entry on January 20 Would Be a Debit to Has