Circled numbers in the Balance column indicate abnormal balances.

Knowledge Check $01$

Which of the following statements is true when comparing the results of using reversing entries with not using reversing entries.

The salaries expense account will be larger on the payment date if a reversing entry is made.

The salaries expense account will be larger on the payment date if a reversing entry is not made.

The salaries payable account will be smaller on the payment date if a reversing entry is made.

The salaries payable account will be smaller on the payment date if a reversing entry is not made.

The salaries expense and salaries payable accounts will have the same balances whether or not a reversing entry is made.