Ramos Corporation Employs 14 Workers in Its Retail Service Center

question 169

Essay

Ramos Corporation employs 14 workers in its retail service center.Each employee is paid $10 per hour and works six hours per day,Monday through Friday.Employees are paid every Friday for the workweek just ending.The last payday was Friday,December 26,on which day the employees were paid through that date.
A. Compute the dollar amount of the weekly payroll.

B. Determine the effect on the accounting equation of the adjusting entry needed on Wednesday, December 31, the last day of Ramos Corporation's fiscal period.

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Definitions:

Full-Service

Pertaining to businesses or services that offer a comprehensive range of solutions or amenities to their customers, leaving no need unaddressed.

Limited-Service

Refers to businesses or offerings that provide a selective range of services as opposed to comprehensive, full-service options.

Merchant Wholesalers

Businesses that buy goods in large quantities from producers, store them, and then resell them to retailers or other businesses.

Wheel of Retailing

A theory that describes how retail outlets evolve over time, starting from low-end, gradually upscaling, and potentially becoming more conventional or full-service establishments.