Answered step by step
Verified Expert Solution
Question
1 Approved Answer
How do you know when the transaction is recorded as a debited wage expense account, or a credit on the cash account? On June 24,
How do you know when the transaction is recorded as a debited wage expense account, or a credit on the cash account?
"On June 24, Costco paid wages for work performed during the preceding week in the amount of $6,700."
If I think about it, you use cash to pay employees. So, why can't you credit $6,700 to the cash account? I'm very confused about the wage expense account, so if someone could please explain that to me, that would be awesome. Thanks a lot.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started