A firm reported salary expense of $239,000 for the current year. The beginning and ending balances in salaries payable were $40,000 and $15,000, respectively. What was the amount of cash paid for salaries?
A) $214,000.
B) $289,000.
C) $264,000.
D) $239,000.

Question

Quizplus · Accepted Answer

$\begin{array}{lrr}
\text { Beginning balance, Salaries payable } & \$ & 40,000 \
\text { Plus Salaries expense } & & 239,000 \
\text { Minus Ending balance, Salaries payable } && \underline{(15,000)} \
 \text {= Cash paid for salaries } && \underline{\$ 264,000} \
& & \
\text { Salary expense } & 239,000 & \
\text { Salaries payable } & 25,000 & \
\text { Cash } & & 264,000
\end{array}$

A Firm Reported Salary Expense of $239,000 for the Current