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A Receptionist Worked One Month and Was Paid $2,000 at the End

Question 112

Multiple Choice

A receptionist worked one month and was paid $2,000 at the end of the month.In transaction analysis,how does this transaction affect the accounting equation?


A) Add $2,000 to Cash account and add $2,000 to Accounts Payable account.
B) Add $2,000 to Accounts Receivable account and subtract $2,000 from Cash account.
C) Add $2,000 to Salary Expense and subtract $2,000 from Retained Earnings account.
D) Subtract $2,000 from Cash account and subtract $2,000 from Retained Earnings account.

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