Uptown Company pays salaries of $2,000 to employees. No accrual has been made for this amount. Which of the following is true of this transaction?
a. cash increases by $2,000; salaries payable decreases by $2,000
b. salaries expense increases by $2,000; cash decreases by $2,00
c. cash decreases by $2,000; salaries expense decreases by $2,000
d. salaries expense increases by $2,000; salaries payable decreases by $2,000
e. cash decreases by $2,000; salaries payable increases by $2,000
Answer: b. salaries expense increases by $2,000; cash decreases by $2,00
Business
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