Question

Instructions Journal Entries Reversing Entry Analysis Instructions djusting, Closing and Reversing Entries 1. Prepare the entries without making a reversing entry. For a compound transaction , if an amount box does not require an entry, leave it If no entry is required, select "No Entry Required" and leave the amount boxes blank or enter "O" 2. Prepare the entries with the use of a reversing entry. If an amount box does not require a select "No Entry Required" and leave the amount boxes blank or enter "o" n entry, leave it blank. If no entry is required, 3. Use T-accounts to assist your analysis for without making a reversing entry Prepare entries for (a), (b), prepare the entries with the use of a reversing entry. Use T-accounts to assist your analysis. a. Wages paid during 20-1 are $21,680. b. Wages earned but not paid (accrued) as of December 31, 20-1, are $330. c. On January 3, 20-2, payroll of $1,030 is paid, which includes the $330 of wages earned but not paid in December and (c) listed below using two methods. First, prepare the entries without making a reversing entry

PLEASE help.cant get this right..so confused..please include solution ,so I will understand better.Thank you in advance!

Answer 1

Journal enteries 1 Date Particulars DR CR 2001 Wages payable 21680 Cash 21680 Wages expense account 2001 Cash 21680 31-12-2001 Income summery 22010 31-12-2001 Wages payable 31-12-2001 Wages expense Wages payable 330 330 22010 22010 330 700 1030 330 01-01-2002 Wages payable 700 03-01-2002 Cash 03-01-2002 Wages expense Wages payable 1030 Income summery 330 1030 Cash urnal enteries 2 1030 2 Jo Wages payable account 31-12-2001 Closing balance 01-01-2002 Wages expense 2001 Wages expenses 21680 31-12-2001 Wages expense 330 Cash 330 330 330 01-01-2002 openind balance 330 21680 631-12-2001 Wages expenses Wages payable 330 330 330 330 330 9 01-01-2002 Wages payable 330 in both the case wages expense for 2001 is 22010 and wages payable is 330 and in jan 2002 wages expense is 700 and there is nill balance in wages payable account wages expense 330 203-01-2002 Wages expense 1030 Cash 1030