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Davis Corp

Question 76

Multiple Choice

Davis Corp. has three employees. Each earns $600 per week for a five day work week ending on Friday. This month the last day of the month falls on a Wednesday. The company should make which of the following adjusting entries?


A) Decrease Wage Expense by $360 and decrease Wages Payable by $360.
B) Increase Wage Expense by $1,080 and increase Wages Payable by $1,080.
C) Decrease Wage Expense by $1,080 and decrease Wages Payable by $1,080.
D) Increase Wage Expense by $360 and increase Wages Payable by $360.

Correct Answer:

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