Which of the following choices accurately reflects how the recording of accrued salary expense affects a business's financial statements?

Name: Which of the following choices accurately reflects how the recording of accrued salary expense affects a business's financial statements?
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Question

Quizplus · Accepted Answer

Accruing salary expense increases liabilities (salaries payable) and increases expenses, which decreases net income and equity (retained earnings). It does not affect cash flows.

Which of the Following Choices Accurately Reflects How the Recording