Able Ltd Operates on a Five-Day Working Week

question 11

Multiple Choice

Able Ltd operates on a five-day working week. Employees are paid on Thursday for work completed to Wednesday. The weekly wages bill is $80 000. If 30 June 2019 fell on a Tuesday, what was the accrued wages payable on 30 June 2019?

• A) $16 000
• B) $32 000
• C) $64 000
• D) None of the above

Understand the distinctions between various trial balances used in accounting.

Identify the effects of adjusting and closing entries on company financial statements.

Understand the concept and purpose of reversing entries in the accounting cycle.

Grasp how transactions affect the retained earnings account during the closing process.

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Definitions:

Society

A group of individuals sharing a common territory and culture, and who interact and create relationships that form a distinct entity with shared norms and values.

Social Control Theory

A theory in sociology that suggests mechanisms, strategies, and processes that regulate individual and group behavior, leading to conformity and compliance to the rules of a society.

Social Norms

Expected standards of conduct within a society that guide the behavior of its members.

Internalize

The process of incorporating the values, attitudes, and norms of a society into one's own belief system.