Carters pays wages in the amount of $11,327.This transaction includes a:
A)debit to Cash.
B)credit to Wages Expense.
C)credit to Cash.
D)credit to Revenue.

Question

Quizplus · Accepted Answer

When Carters pays wages, there is a decrease in cash, therefore a credit entry to the Cash account is needed. There is no revenue earned from paying wages, and wages expense is not credited, but rather debited, when recording the initial expense. Therefore, the only appropriate choice is a credit to Cash.

Carters Pays Wages in the Amount of $11,327