The Employees of Dew Drop Inn Get Paid Every Friday

question 201

Multiple Choice

The employees of Dew Drop Inn get paid every Friday for a 5-day workweek (Monday through Friday) .The total payroll is $5,000 per day of work.If the accounting period ends on Thursday of a given week,what adjustment must be made to the company's accounting records?

• A)Decrease Cash by $20,000 and decrease shareholders' equity by recognizing Salaries expense for the same amount.
• B)Increase Salaries payable by $20,000 and increase shareholders' equity by recognizing Salaries expense for the same amount.
• C)Increase Salaries payable by $20,000 and decrease shareholders' equity by recognizing Salaries expense for the same amount.
• D)No adjustment is necessary because there is no expense until the employees are paid on Friday.

---

Definitions:

Basic Ways

Fundamental or elementary methods, techniques, or approaches.

Phases Of An Interview

Describes the different stages or steps typically involved in conducting an interview, such as preparation, opening, body, and closing.

Three Phases

A conceptual model dividing a process or phenomenon into three distinct stages or stages for analysis or understanding.

Impression Management Tools

Strategies or methodologies used by individuals or organizations to control or influence the perceptions others have of them.