Question
What is an example of an entry that records the payment of salaries by a business?
Debit salary expense and credit cash
Debit cash and credit salary expense
Debit salary expense and credit owner’s equity
Debit liabilities and credit salary expense
Debit salary expense and credit cash
Debit cash and credit salary expense
Debit salary expense and credit owner’s equity
Debit liabilities and credit salary expense
Answers
GPT-4o mini
The correct journal entry to record the payment of salaries by a business is:
**Debit Salary Expense and Credit Cash**
This entry reflects the expense incurred for salaries (which increases the salary expense account) and the cash outflow for paying those salaries (which decreases the cash account).
**Debit Salary Expense and Credit Cash**
This entry reflects the expense incurred for salaries (which increases the salary expense account) and the cash outflow for paying those salaries (which decreases the cash account).