Question
On December 31, a Sahly INC. made an adjusting entry to accrue salaries and wages expenses of $5000. This balance sheet accurately reported the $5000
On December 31, a Sahly INC. made an adjusting entry to accrue salaries and wages expenses of $5000. This balance sheet accurately reported the $5000 as a current liability for December 31. Sahly INC's accountant uses reversing entries to avoid having to account for the payroll liabilities in the subsequent period. The amount of the payroll for the first payday on January 7 was $15,000. After the Reversing Entry was made on January 1, what would be the actual balances if the Salaries and Wages Payable and the Salaries and wages expense? Select one: a. Payable - Debit Balance of 5000, Expense - Debit Balance of 5000
b. Payable - No Balance, Expense - No Balance
c. Payable - No Balance, Expense - Credit Balance of 5000
d. Payable - Credit Balance of 5000, Expense - No Balance
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