An Adjusting Entry That Credits Salaries Payable Is an Example

question 41

Multiple Choice

An adjusting entry that credits Salaries payable is an example of a(n) :

• A) accrued expense.
• B) unearned revenue.
• C) accrued revenue.
• D) prepaid expense.

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Definitions:

Intra-Entity Inventory Transfers

Transactions involving the transfer of inventory between departments or units within the same company.

Consolidation Worksheet

An instrument utilized for compiling consolidated financial reports, which facilitates the integration of financial data from a parent company and its subsidiary entities.

Consolidated Statement

Financial reports that combine the accounting information of a parent company with its subsidiaries to present as a single entity.

Cash Flows

Cash flows refer to the net amount of cash and cash equivalents being transferred into and out of a business.