Solved

Power Electric Has Two Part-Time Employees; Each Employee Earns $200

Question 162

Multiple Choice

Power Electric has two part-time employees; each employee earns $200 per day.They are normally paid on Fridays for work completed Monday through Friday of the same week.April 25,2014,was a Friday,and they were paid in full on that day.The employees worked on Monday,Tuesday,and Wednesday,April 28 through 30,2014,and the related adjusting entry was recorded on April 30,2014.The company paid the two employees for a full week of work on Friday,May 2,2014.How would the company record this transaction?


A) Debit Salaries Expense for $1,000 and credit Cash for $1,000.
B) Debit Salaries Expense for $400 and credit Cash for $400.
C) Debit Salaries Expense for $400 and credit Salaries Payable for $400.
D) Debit Salaries Expense for $600 and credit Salaries Payable for $600.
E) Debit Salaries Expense for $400,credit Salaries Payable for $600,and credit Cash for $1,000.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents