Question

Jenna is the accounting clerk for an organization. She records a single journal entry for the overall compensation expenses the company incurs in the payroll register. What type of journal entry does she make?
A payroll register helps Jenna record a _________ journal entry for the overall compensation paid by the company.

Answer 1

Answer

Payroll Journal Entry

Explanation

A payroll entry is used to record the compensations paid to employees by the company. Payroll journal entries can be initial recordation, accrued wages or manual payments. This entry is prepared from the payroll register and it includes debits for labor, salaries and the firm’s fraction of payroll taxes.