Alexs Editing Company pays all salaried employees monthly on the first Monday following the end of the

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Alex’s Editing Company pays all salaried employees monthly on the first Monday following the end of the month. Overtime, however, is recorded as vacation time for all employees. Alex allows employees to exchange all vacation time not used during the year for pay on May 31 and actually pays it on June 15. The company accrues salary expense only at its May 31 year end. Information about salaries earned in May 2009 is as follows:
• Last payroll was paid on May 1, 2009, for the month ended April 30, 2009.
• Vacation pay exchanged at year end totaled $250,000.
• The regular yearly salaries total $3,300,000.
Using a 12-month fiscal work year, what will Alex’s Editing Company’s balance sheet show as salaries payable on May 31, 2009?

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
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