Which entry is correct?
Salary A/c ... Dr
To Bank A/c
OR
Salary A/c .... Dr
To Salary Payable A/c
Salary Payable A/c ..... Dr
To Bank A/c
Why do we need to first Due the expense and then Pay it, for what kind of items we make the same treatment?
Please solve.
Second is correct because, it records that payments are made to employees under payables
CAclubindia
