A Company Made No Adjusting Entry for Accrued and Unpaid

question 137

Multiple Choice

A company made no adjusting entry for accrued and unpaid employee salaries of $9,000 on December 31.Which of the following statements is true?

• A)It will have no effect on income.
• B)It will overstate assets and liabilities by $9,000.
• C)It will understate net income by $9,000.
• D)It will understate assets by $9,000.
• E)It will understate expenses and overstate net income by $9,000.

Comprehend the concept of organizational culture and its significance.

Understand the process of socialization in organizational settings.

Distinguish between transformational and reactive change and their implementations.

Recognize the role of participation and involvement in overcoming resistance to change.

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Definitions:

Listed Payee

An entity or individual named in a document, such as a check or policy, who is authorized to receive the specified funds or benefits.

Misspelled Name

An error in the spelling of a name on a document or record, which can sometimes complicate legal or official transactions.

Good Faith

The principle of acting with honesty, fairness, and sincerity in dealings without any intent to deceive or defraud.

UCC

The Uniform Commercial Code, a comprehensive set of laws governing commercial transactions in the United States, aimed at harmonizing laws across the states.