A company's weekly payroll amounts to $50,000 and payday for the week is every Friday.Employees work five days per week,Monday through Friday.The appropriate journal entry was recorded at the end of the accounting period,Tuesday,March 31,2013.What amount is wages expense for April for the payday,Friday,April,3,2013?

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Quizplus · Accepted Answer

The company's weekly payroll amount is $50,000, and payday is every Friday. This means that the payroll for the week of Friday, April 3, 2013, is included in the amount of $50,000 recorded at the end of the accounting period on Tuesday, March 31, 2013. Therefore, $50,000 is already accounted for in March's financial statements, and no additional wages expense should be recognized in April. Option C is the correct answer, as $30,000 refers to the amount of wages incurred during the month of April.

A Company's Weekly Payroll Amounts to $50,000 and Payday for the Week