Asked by Jessica Gonzales on Jul 22, 2024
Verified
The journal entry to record the monthly payroll on April 30 would include a
A) credit to Salaries Payable for $8,150
B) debit to Salaries Expense for $7,902
C) debit to Salaries Payable for $8,150
D) debit to Salaries Payable for $7,902
Salaries Payable
A current liability account that records the amounts owed to employees for services rendered but not yet paid.
Salaries Expense
The expense reported on the income statement representing the total amount paid to employees for services rendered during a specific period.
Payroll Register
A record that summarizes wages, deductions, and net pay for all employees for each pay period.
- Comprehend the fundamentals of payroll and its related obligations.
- Comprehend the obligations related to payroll taxes of employers and the corresponding accounting records.
Verified Answer
SP
SuzyQ PalmerJul 29, 2024
Final Answer :
A
Explanation :
The total deductions from the salaries are FICA taxes ($900), income taxes ($2,500), and medical insurance deductions ($450), which sum up to $3,850. Subtracting this from the total salaries of $12,000 gives $8,150, which is the net amount payable to employees, hence a credit to Salaries Payable for $8,150.
Learning Objectives
- Comprehend the fundamentals of payroll and its related obligations.
- Comprehend the obligations related to payroll taxes of employers and the corresponding accounting records.