At the end of the accounting period, wages earned by employees but not yet recorded nor paid amounted to $400; therefore, the adjusting entry should be: Debit--Wages payable; Credit - Wages expense.

Question

Quizplus · Accepted Answer

The correct adjusting entry should be: Debit--Wages Expense; Credit--Wages Payable. This records the expense incurred during the period and acknowledges the liability (wages payable) that the company owes to its employees.

At the End of the Accounting Period, Wages Earned by Employees