04 February 2011
we have 25 workers in factory. but we are paying them salary in cash. So how to show this is in P&L. if it shows factory exp. is it ok ? what is proper entry for that? we are not deducted PT.please advice.
04 February 2011
Payment of Salary and wages in Cash is OK. It can be shown as direct expenses relating to manufacture (in case of wages) and in case of salaries, it can be shown under Personnel Expenses.
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