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12 February, 12:35

Washington Company's employees earn $220 per day and are paid every Friday for a five-day work week. This year, December 31 is a Wednesday.

Required: Journalize the adjusting entry on December 31.

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  1. 12 February, 12:47
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    The adjusting entry is shown below:

    Wages and salaries Expense A/c Dr $660

    To Wages and salary payable A/c $660

    (Being the wages are adjusted)

    The computation is shown below:

    = Per day salary * number of days

    = $220 per day * 3 days

    = $660

    So, the wages and salaries expense is debited for $660 and wages and salaries payable is credited for $660
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