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MMLU / When Corporation X pays out …

Problem

Answer published by the source. Consult the official source to check your work against its answer.

question

When Corporation X pays out $300,000 in salaries, which of the following is the impact on assets and liabilities?

choices

  1. Salary expense is increased by $300,000; cash is increased by $300,000
  2. Salary expense is increased by $300,000; cash is decreased by $300,000
  3. Salary expense is decreased by $300,000; cash is increased by $300,000
  4. Salary expense is decreased by $300,000; cash is decreased by $300,000

subject

miscellaneous

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