During July, wage expense of $54,000 was reported on the income statement of Caroline Company. If wages payable on July 1st was $4,000, and wages of $40,000 were paid during July, how much was accrued wages payable on July 31st?

Question

Quizplus · Accepted Answer

Beginning wages payable + Wage expense - Wages paid = Ending wages payable
$4,000 + $54,000 - $40,000 = X
X = $18,000

During July, Wage Expense of $54,000 Was Reported on the Income