Salary payable to an employee $ 50, 00. Which account is to be credited?

i think the correct answer is " Salary Payable" .... thanks for adding good question

c) Outstanding Salary A/c - will be credited.

The reason stated below:

When Salary is due & to be paid to employee  means its outstanding Salary & Payable. Its liabilities for company.

The Original entry is required to pass on the end of month or Due date; such as:

Salary A/c   Dr $50,00

 To Salary Payable / Outstanding Salary. ( Cr) $50,00 

Salary is not yet paid so the entry will be

Debit - Salary Expenses

Credit - Outstanding Salaries  A/c or Salary Payable

It depends:

Case 1: Cash Payment immediately:

Debit: Salary Expenses

    Credit: Cash

Case 2: Payable later:

Debit: Salary Expenses

    Credit: Payable Salaries

           ---------

Debit: Payable Salaries

    Credit: Cash/Bank

Regards,

Mohammad

Salaries  A/c

        Outstanding Salaries  A/c

             (   Maturity entry)

                ___________

Outstanding Salaries  A/c

        Cash  A/c  Or bank A/c

               ( Payment entry )

C is the option outstanding salary a/c

To record this transaction in the books of account, the journal entry to be passed:

Salaries Expenses...................Debit

Salaries payable/Outstanding Salaries A/C........................Credit

So the right answer to this question is options-(C) Outstanding Salaries A/C.

Option C is right answer as Salary payable would create liability for employer to make payment in future

if salary is paid cash is to be credit and if it is not paid at current period outstanding salaries is to be credit

c.Outstanding Salaries  A/c