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Flagg, Inc. records adjusting entries at its December 31 year end. At December 31, employees had earned $9,200 of unpaid and unrecorded salaries. The next payday is January 3, at which time $23,000 will be paid. Prepare the January 1 journal entry to reverse the effect of the December 31 salary expense accrual.

Debit Salaries expense $9,200; credit Salaries payable $9,200.
Debit Salaries expense $13,800; debit Salaries payable $9,200; credit Cash $23,000.
Debit Salaries payable $13,800; credit Cash $13,800.
Debit Salaries payable $9,200, credit Salaries expense $9,200.
Debit Salaries expense $13,800; credit Salaries payable $13,800.

User Nick Res
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1 Answer

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Answer:

Debit Salaries payable $9,200, Credit Salaries expense $9,200.

Step-by-step explanation:

Journal entry to reverse the effect of the December 31 salary expense accrual:

Date Journal Entry Debit Credit

Salaries payable $9,200

Salaries expense $9,200

User Heron Rossi
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