Assume that no reversing entries are made by this firm. If wages of $11 200 were accrued by it at the end of the year and the first payment of wages in the subsequent year was $101 600 how would this payment be recorded?
A) Debit salaries payable $11 200; debit salaries expense $90 400; credit cash $101 600
B) Credit salaries payable $11 200; debit salaries expense $112 800; credit cash $101 600
C) Debit salaries payable $11 200; debit salaries expense $101 600; credit cash $112 800
D) Debit salaries expense $90 400; credit cash $90 400
Correct Answer:
Verified
Q28: The major purpose of a post-closing trial
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