What is the director fees journal entry?

Answer 1

The journal entry to record director fees typically involves debiting an expense account and crediting a liability account. For example, if a company owes $1,000 in director fees, the entry would be: Debit "Director Fees Expense" for $1,000 and Credit "Accrued Liabilities" (or "Accounts Payable") for $1,000. This reflects the expense incurred and the obligation to pay the director. When the payment is made, the liability account would then be debited, and cash would be credited.