In Its First Year of Operations,Jetway Airlines Incurred and Paid

question 51

Multiple Choice

In its first year of operations,Jetway Airlines incurred and paid Salaries Expense of $40 million.On December 31,it accrued an additional Salaries Expense of $2 million.What should Jetway report in the income statement and balance sheet for its first year ended December 31?

• A)Income statement: Salaries and Wages Expense $42 million;Balance sheet: Salaries and Wages Payable $2 million
• B)Income statement: Salaries and Wages Expense $40 million;Balance sheet: Salaries and Wages Payable $2 million
• C)Income statement: Salaries and Wages Expense $40 million;Balance sheet: Salaries and Wages Payable $0
• D)Income statement: Salaries and Wages Payable $2 million;Balance sheet: Salaries and Wages Expense $42 million

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A highly contagious viral infection characterized by an itchy rash and red spots or blisters all over the body.

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Inflammation of the liver usually caused by viruses or toxins.

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A contagious respiratory illness caused by influenza viruses, characterized by symptoms like fever, cough, and body aches.

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