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Director Salary Journal Entry

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Directors are active and they are top level management of the company who works and acts on the behalf of Owners of the business. The remuneration paid to directors i nclude  salary, fees or a ny  compe nsatio n give n to t hem duri ng t heir jo b time  or works or employme nt  suc h as use of cars or a ny property of t he compa ny.  T he Remu neratio n of D irectors is high as their responsibilities are huge. When the company paid salary, fees or remuneration to a Director, then following Journal Entry is recorded in the book of company’s business as shown below: Director Salary a/c / Director's Remuneration a/c / Director Fees a/c  XXX                                                                            Cash a/c / B ank a/c...