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Journal Entry query

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7 Points Posted on 13 June 2021
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.
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On 13 June 2021 at 21:48 Report
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My grammar is 💯 good I
7301 Points Posted on 13 June 2021

Second is correct because, it records that payments are made to employees under payables

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On 13 June 2021 at 21:52
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64 Points Posted on 13 June 2021
If you follow cash basis in accounting first one is correct, if you are following accrual basis in accounting second one is correct.
1 Reply
On 13 June 2021 at 22:06
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Student
252 Points Posted on 14 June 2021
Second is correct as per accrual basis
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On 14 June 2021 at 09:04
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Chartered Accountant
24588 Points Posted on 14 June 2021
Second entry is correct
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On 14 June 2021 at 09:11
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10 Points Posted on 15 June 2021
We follow accrual concept , so second is correct
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On 15 June 2021 at 14:10


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