Hourly employees at Gilbert Manufacturing have worked 1,200 hours for the week at an average pay rate of $32.50 per hour.Which of the following is the required adjusting entry?

Question

Quizplus · Accepted Answer

Wages expenses have been incurred,but not yet recorded.The adjusting entry includes a debit to Salaries and Wages Expense (to increase that expense account)and a credit to Salaries and Wages Payable (to increase that liability account)for $39,000 (or 1,200 hours × $32.50 per hour).

Hourly Employees at Gilbert Manufacturing Have Worked 1,200 Hours for the Week