1- The recording of wages earned but not yet paid is an example of an adjustment

Question

1- The recording of wages earned but not yet paid is an example of an adjustment that
Answer

A. recognizes an accrued expense.

B. apportions revenues between two or more periods.

C. apportions costs between two or more periods.

D. recognizes an unrecorded revenue.





2- The income statement for the month of June, 2011 of Ramirez Enterprises contains the following information:
Revenues $7,000
Expenses:
Wages Expense $2,000
Rent Expense 1,000
Supplies Expense 300
Advertising Expense 200
Insurance Expense 100
Total expenses 3,600
Net income $3,400
The entry to close the revenue account includes a
Answer

A. debit to Income Summary for $3,400.

B. credit to Income Summary for $3,400.

C. debit to Income Summary for $7,000.

D. credit to Income Summary for $7,000.

Explanation / Answer

1.A. recognizes an accrued expense. 2.B. credit to Income Summary for $3,400.

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.