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what is the journal entry of outstanding wages ?

Answer Posted / eklavyaoffinance

Wages A/c Dr.

To Outstanding Wages A/c

(Explanation : If it had been entry for "wages paid" , we
would debit "Wages A/c" and credit "Cash A/c". But since
here wages are not actually paid (by cash) "Outstanding
Wages A/c" will have to be credited instead of "Cash A/c" .
Note : here "Outstanding Wages A/c" is a Personal Account
and "Wages A/c" is a Nominal Account.

Is This Answer Correct ?    134 Yes 12 No



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