The Employees of Acorn Company Have Worked the Last Two

question 110

Multiple Choice

The employees of Acorn Company have worked the last two weeks of 2013, but the employees' wages have not been paid or recorded as of December 31, 2013. The adjusting entry that Acorn should make for these unpaid wages on December 31, 2013 is:

• A)debit to Wages Expense and credit to Wages Payable.
• B)debit to Wages Expense and credit to Cash.
• C)debit to Wages Payable and credit to Wages Expense.
• D)no entry is required until the employee is paid next perioD.Accruing wages will increase wages expense and increase wages payable, a liability. The journal entry would be a debit to wages expense and a credit to wages payable.

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