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During 2020, the first year of operations, Silver, Inc., pays salaries of $175,000. At the end of the year, employees have earned salaries of
During 2020, the first year of operations, Silver, Inc., pays salaries of $175,000. At the end of the year, employees have earned salaries of $20,000, which are not paid by Silver until early in 2021. What is the amount of the deduction for salary expense? If Silver uses the cash method, 50 in 2020 and $195,000 in 2021 Oh. If Silver uses the cash method, $175,000 in 2020 and 50 in 2021. If Silver uses the accrual method, $175,000 in 2020 and $20,000 in 2021. d. If Silver uses the accrual method, $195,000 in 2020 and 50 in 2021.
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