Question

At December 31, 2021, Giselle Company made an accrued expense adjusting entry of $1,700 for salaries....

At December 31, 2021, Giselle Company made an accrued expense adjusting entry of $1,700 for salaries. On January 4, 2022, it paid salaries of $3,000: $1,700 for December salaries and $1,300 for January salaries.

(a) Prepare the December 31 adjusting entry.

(b) Prepare the December 31 closing entry for salaries.

(c) Prepare the January 1 reversing entry and the January 4 journal entry to record the payment of salaries.

(d) Indicate the balances in Salaries Payable and Salaries Expense after posting these entries.

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