A Manufacturing Company's Weekly Payroll Is $80,000 for a 5-Day

A manufacturing company's weekly payroll is $80,000 for a 5-day work week beginning each Monday and ending each Friday. The last time salaries and wages were recorded was Friday, December 26. What adjustment is needed on December 31, the last day of the company's fiscal period?

A) Increase wages expense by $48,000.
B) Decrease wages payable by $48,000.
C) Decrease cash by $48,000.
D) No adjustment is necessary since the next payday will not occur until the following year.

Correct Answer:

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Access For Free