When checks are issued to employees after the entry to record the payroll has been made, the accountant would
A)debit Salaries and Wages Payable and credit Cash.
B)debit Salaries Expense, debit Wages Expense, and credit Cash.
C)debit Salaries and Wages Payable, debit Social Security Tax Payable, debit Medicare Tax Payable, debit Employee Income Tax Payable, and credit Cash.
D)debit Salaries and Wages Payable and credit Salaries Expense and Wages Expense.

Question

Quizplus · Accepted Answer

When checks are issued to employees, it indicates that the payroll has been paid. Therefore, Salaries and Wages Payable account should be reduced by debiting it, and Cash account should be increased by crediting it. This can be done by recording a journal entry with a debit to Salaries and Wages Payable account and a credit to Cash account.

When Checks Are Issued to Employees After the Entry to Record