Flagg Records Adjusting Entries at Its December 31 Year-End

question 1

Multiple Choice

Flagg records adjusting entries at its December 31 year-end.At December 31,employees had earned $12,000 of unpaid and unrecorded salaries.The next payday is January 3,at which time $30,000 will be paid.Prepare the journal entry on January 3 to record payment assuming the adjusting and reversing entries were made on December 31 and January 1.

• A)Debit Salaries expense $12,000; debit Salaries payable $18,000; credit Cash $30,000.
• B)Debit Salaries expense $30,000; credit Cash $30,000.
• C)Debit Salaries payable $30,000; credit Cash $30,000.
• D)Debit Salaries expense $18,000,debit Salaries payable $12,000; credit Cash $30,000.
• E)Debit Salaries expense $18,000; credit Cash $18,000.

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Definitions:

Workplace Behaviors

Actions and interactions of individuals within a workplace setting, which can influence the work atmosphere, productivity, and organizational culture.

Divisional Structure

An organizational structure that groups employees by products and services, geographic regions, or customers.

Functional Departmentalization

Organizing a company's structure based on functions or departments such as marketing, finance, human resources, etc., to enhance efficiency and specialization.

Organizational Development

The study and implementation of practices, strategies, and techniques that improve an organization's effectiveness, health, and overall success.