Reversing an accrued bonus at the start of the year

Transaction

On December 31 the company accrued a bonus of $6,400.00 earned by its employees during the year, to be paid on February 28. The company uses reversing entries. Record the reversing entry on January 1 of the new year.

Assumptions: The December 31 entry debited Salaries Expense and credited Salaries Payable. Payroll taxes and withholdings are ignored in this item.