Answer:
A. Dr Salaries Expense$4,700
Cr Salaries Payable$4,700
B. Dr Retained Earnings$250,000
Cr Salaries Expense$250,000
Explanation:
Preparation of Journal Entries
Preparation of Journal entry for the Accrue salaries payable on December 31:
Based on the information given we were told that he accrued the amount of $4,700 of salaries payable which means that the Journal entry will be recorded as:
Dec.31
Dr Salaries Expense$4,700
Cr Salaries Payable$4,700
(To record accrued salaries=
b. Journal entry to Close the Salaries Expense account on December 31
Based on the information given we were told that the account has a year end balance of the amount of $250,000 after adjustments has been made which means that the Journal entry will be recorded as:
Dec.31
Dr Retained Earnings$250,000
Cr Salaries Expense$250,000
(To close the Salaries Expense account)
