Question

Salaries and wages expense totaled $450,600 for the period. the beginning and ending balances of salaries and wages payable for the period were $18,300 and $16,800, respectively. what was the amount of cash paid to employees during the period?

A. $449,100

B. $433,800

C. $450,600

D. $452,100

Answer 1

The amount of cash paid to employees during the period is calculated by subtracting the change in the salaries and wages payable account from the total salaries and wages expense. The correct answer is A. $449,100.

Step-by-step explanation:

To determine the amount of cash paid to employees during the period, we will use the salaries and wages expense along with the changes in the salaries and wages payable account. The total salaries and wages expense for the period is given as $450,600. The beginning balance of salaries and wages payable is $18,300 and the ending balance is $16,800.

We can calculate the cash paid to employees by adjusting the total salaries and wages expense for the change in the payable account as follows:

Cash Paid = Salaries and Wages Expense - (Beginning Payable - Ending Payable)

So, Cash Paid = $450,600 - ($18,300 - $16,800) = $450,600 - $1,500 = $449,100.

The correct answer is therefore A. $449,100.