Question

two employees worked one week and were paid salaries of $2,500. the journal entry would: a. debit cash for $2,500 and credit salaries payable for $2,500. b. debit salary expense for $2,500 and credit cash for $2,500. c. debit cash for $2,500 and credit salary expense for $2,500. d. debit accounts payable for $2,500 and credit salary payable for $2,500.

Explanation:

When employees are paid salaries, salary expense is recognized as an expense (debit) and cash is decreased as it is used for payment (credit).

Answer:

B. debit Salary Expense for $2,500 and credit Cash for $2,500.