An Adjusting Entry Was Made on Year-End December 31 to Accrue

question 242

Multiple Choice

An adjusting entry was made on year-end December 31 to accrue salary expense of $1,200.Assuming the company does not prepare reversing entries,which of the following entries would be prepared to record the $3,000 payment of salaries in January of the following year?

• A) \[\begin{array} { | l | r | r | }
• \hline \text { Salaries Expense } & 3,000 & \\
• \hline \text { Cash } & & 3,000 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | l | r | r | }
• \hline \text { Salaries Payable } & 3,000 & \\
• \hline \text { Cash } & & 3,000 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | l | r | r | }
• \hline \text { Salaries Payable } & 1,200 & \\
• \hline \text { Cash } & & 1,200 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | l | r | r | }
• \hline \text { Salaries Expense } & 1,200 & \\
• \hline \text { Salaries Payable } & & 1,200 \\
• \hline
• \end{array}\]
• E) \[\begin{array} { | l | r | r | }
• \hline \text { Salaries Payable } & 1,200 & \\
• \hline \text { Salaries Expense } & 1,800 & \\
• \hline \text { Cash } & & 3,000 \\
• \hline
• \end{array}\]

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