What are the three important questions concerning the


Response to the following questions:

1. Which of the following steps are executed when a company draws one check for total payroll and deposits it in a special payroll bank account?

(a) Write a check to the payroll bank account for the total payroll and record it with a debit to Salaries Payable and a credit to Cash.

(b) Deposit a check (or transfer funds) for the total payroll in the payroll bank account.

(c) Issue individual payroll checks drawn on the payroll bank account.

(d) All of the above.

2. What are the three important questions concerning the uncertainty of liabilities?

 

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Financial Accounting: What are the three important questions concerning the
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