Scribd
Upload
8 views1 page

Salary Accruals and Adjustments Analysis

This document shows accounting entries for salaries over 3 years from 2020-2022. In 2021, salaries of $80,000 were recorded with a corresponding accrued salaries payable. Total compensation for the year was $120,000 with $80,000 accrued as of December 31, 2021. In 2022, salaries of $170,000 were recorded with accrued salaries payable increased to $170,000. Total compensation for 2022 was $250,000 with $80,000 subtracted from the prior year accrual, resulting in an adjustment of $170,000.

Uploaded by

Ma. Concepcion Desepeda
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
8 views1 page

Salary Accruals and Adjustments Analysis

This document shows accounting entries for salaries over 3 years from 2020-2022. In 2021, salaries of $80,000 were recorded with a corresponding accrued salaries payable. Total compensation for the year was $120,000 with $80,000 accrued as of December 31, 2021. In 2022, salaries of $170,000 were recorded with accrued salaries payable increased to $170,000. Total compensation for 2022 was $250,000 with $80,000 subtracted from the prior year accrual, resulting in an adjustment of $170,000.

Uploaded by

Ma. Concepcion Desepeda
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Desepeda, Ma. Concepcion M.

BSA2-3

Problem 25-2

2020 No entry

2021 Salaries 80,000


Accrued salaries payable 80,000
Total compensation (10,000 x 12) 120,000
Accrued compensation - Dec. 31, 2021 (120,000 / 3 x 2) 80,0000

2022 Salaries 170,000


Accrued salaries payable 170,000
Total compensation Dec. 31, 2022 (10,000 x 25) 250,000
Less: Accrued compensation - Dec. 31, 2021 80,000
Adjustment 170,000

Accrued salaries payable 250,000


Cash 250,000

You might also like