Vega Company expects to pay a 4% bonus on net income of $130,000 after deducting the bonus.
Question:
a. a debit to Employee Bonus Payable, $5,000.
b. a debit to Employee Bonus Expense, $5,200.
c. a credit to Employee Bonus Payable, $5,000.
d. a credit to Cash, $5,200.
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Step by Step Answer:
Answer b a debit to Employee Bonus Expenses 5200 Explanation There should be a debit of 5200 ...View the full answer
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Usman Nasir
I did Master of Commerce in year 2009 and completed ACCA (Association of Chartered Certified Accountants) in year 2013. I have 10 years of practical experience inclusive of teaching and industry. Currently i am working in a multinational company as finance manager and serving as part time teacher in a university. I have been doing tutoring via many sites. I am very strong at solving numerical / theoretical scenario-based questions.
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Related Book For 
Horngrens Financial And Managerial Accounting The Financial Chapters
ISBN: 9780134486840
6th Edition
Authors: Tracie L. Miller Nobles, Brenda L. Mattison, Ella Mae Matsumura
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