Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and the Yahoo Answers website is now in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.
Trending News
Help with accrued problem?
During the year, Cheng Company paid salaries of $23,900. In addition, $9,000 in salaries has accrued by the end of the year but has not been paid. The year-end adjusting entry would include which one of the following?
Credit to salaries expense of $9,000
Debit to salaries expense for $32,900
Debit to salaries payable for $23,900
Credit to salaries payable for $9,000
2 Answers
- JJLv 57 years agoFavorite Answer
Closing entries are not done to payable accounts, they are either paid or not.
The expenses are closed out into the revenue accounts at closing time.
The original entries:
Paying the salaries: credits to cash (to reduce the cash) and a debits to Salaries expense to accumulate the expense (total of $23,900).
Unpaid salaries: credit salaries payable (to increase the debt) and a debit to salaries expense (total of $9,000)
You now have a debit balance in salaries expense of $32,900.
To close this you need to offset the expense balance with a credit.
Either your teacher is messing with you or you wrote something wrong in the question.
Repost in homework help for better luck.
