PRC-1 · Chapter 4 · Question 92 of 100
Opening accrued salaries were Rs. 8,000. Salaries paid in cash during the year were Rs. 95,000. Ending accrued salaries are Rs. 12,000. What is the total salaries expense for the year?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Rs. 99,000
Explanation
Expense = Cash paid (95,000) - Opening Accrual (8,000) + Closing Accrual (12,000) = Rs. 99,000.
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