Question

Adjustment for Accrued Expense Grega Realty Co. pays weekly salaries of $16,000 on Monday for a six-day workweek ending the preceding Saturday. Journalize the necessary adjusting entry at the end of the accounting period, assuming that the period ends on Friday. Round your answers to nearest whole dollar. If an amount box does not require an entry, leave it blank. Accounts Payable Accounts Receivable Cash Prepaid Salaries Salaries Expense Salaries Payable Salaries Receivable Salaries Revenue

Answer 1

Answer:

Account title and explanation	Debit $	Credit $
Salary expanses	13,333
Salary Payable		13,333

Working notes for the above answer is as under

Here we need to calculate the Accrued salary for Monday to Friday 5 Days

So Accrued salary for 5 Days

=$16,000 x (5/6)

=$13,333