Question 23:

A company accrues $12,000 in salaries expense for the current month.

Requirements:

1. Record the journal entry to accrue the salaries expense.

2. Post the journal entry to the Salaries Expense account in the ledger.

3. Calculate the total amount of salaries expense accrued.

4. Analyze how this transaction affects the company's income statement.

5. Discuss the importance of accrual accounting in recognizing expenses.