Assume Reversing Entries Are Made by the Entity

Multiple Choice

Assume reversing entries are made by the entity. If wages of $2600 were accrued at the end of the year and the first payment of wages the following year was $33 100 how would this payment be recorded?

A) DR Salaries payable $2600; DR Salaries expense $30 500; CR Cash $33 100
B) DR Salaries expense $35 700; CR Salaries payable $2600; CR Cash $33 100
C) DR Salaries payable $2600; DR Salaries expense $33 100; CR Cash $35 700
D) DR Salaries expense $33 100; CR Cash $33 100