Question

which of the following expense is not paid in cash?
Rent B) commission C) Salary D) depreciation​

Answer 1

Answer:

ur answer is option (c) Salary

Explanation:

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Answer 2

ANSWER :

• Option D) Depreciation

★ From the above mentioned expenses, Depreciation is the expense which is not paid in Cash.

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• ↬ Depreciation refers to a permanent, gradual and continuous decrease in the value of a fixed asset and it continues till the end of the useful life of the asset. It is a charge against profit. Though it is an expense (indirect expense), it is not paid in Cash.

• ↬ Rent is an amount paid/received againts any rental property for each reporting period. Rent is paid/received either in cash or by cheque or on account. Rent paid is an expense while rent received is an income.

• ↬ Commission is an amount either paid or received by a business. It is also paid/received in cash or by cheque. When Commission is paid it is an expense and when commission is received it is an income.

• ↬ Salary is an amount of money paid to the employees of a business concern in a fixed time interval in return of the work performed by them. Salary is also paid either in Cash or by Cheque and sometimes on account. Salary paid by the business concern is an expense to it while salary received by the employees is an income to them.