Eagle Company reported Salaries and Wages Payable of $800 at the beginning of the year and $2,600 at the end of the year. The income statement for the year reported Salaries and Wages Expense of $57,200. How much cash was paid for salaries and wages during the year?

$55,400

Explanation:

To determine the cash paid for salaries and wages during the year.

wages payable (beginning of the year) = $800

wages payable (end of the year) = $2600

Income statement on wages and salaries for the year = $57,200

cash paid for Salaries and Wages during the year = (Salaries and Wages Expense + wages payable at the beginning of the year) - wages payable at the end of the year

$(57,200 + 800) - $2600

$(58000-2600)

= $55,400

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the correct answer is:

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