Employees at Biquell Corporation are paid $9,000 cash every Friday for working Monday through Friday. The calendar year accounting period ends on Wednesday, December 31. How much salaries and wages expense should be recorded two days later on January 2?

Question

Quizplus · Accepted Answer

The salaries and wages expense for January 2 should be for the two days worked in the new year, which is $3,600 (2/5 of $9,000).

Employees at Biquell Corporation Are Paid $9,000 Cash Every Friday