Suma Corp. reported the following information for 2015 and 2016. Salaries payable, December 31, 2015 $3,700
Salaries payable, December 31, 2016 1,800
Salaries expense--2016 57,000
How much cash was paid for salaries during 2016?
A) $55,100
B) $55,200
C) $57,000
D) $58,900

Question

Quizplus · Accepted Answer

To find the cash paid for salaries, adjust the salaries expense by the change in salaries payable: $57,000 (expense) + $3,700 (beginning payable) - $1,800 (ending payable) = $58,900.

Suma Corp Reported the Following Information for 2015 and 2016