New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    White Ribbon Corporations reported salaries expense of

    Rs 200,000. The beginning balance of salaries payable was Rs 35,000 and the ending balance was Rs 10,000. How much cash did the company pay in salaries?
    A 225,000 Correct Answer Incorrect Answer
    B 235,000 Correct Answer Incorrect Answer
    C 190,000 Correct Answer Incorrect Answer
    D 200,000 Correct Answer Incorrect Answer
    E 175,000 Correct Answer Incorrect Answer

    Solution

      Beginning salary payable balance + salary expenses of the year – Ending salary expenses payable = cash paid in salaries in the year 35000 + 200000 – 10000 = 225000   Alternatively , Salary expenses of the year + decrease in salary payable                         200000 + (35000-10000) = 225000

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