143.
A company shows a balance in Salaries and Wages Payable of $38,000 at the end of the month. The next payroll amounting to $48,000 is to be paid in the following month. What will be the journal entry to record the payment of salaries? a. Salaries and Wages Expense.................................................. 48,000 Salaries and Wages Payable.......................................... 48,000 b. Salaries and Wages Expense.................................................. 48,000 Cash............................................................................... 48,000 c. Salaries and Wages Expense.................................................. 10,000 Cash............................................................................... 10,000 d. Salaries and Wages Expense.................................................. 10,000 Salaries and Wages Payable................................................... 38,000 Cash............................................................................... 48,000
144.
A business pays weekly salaries of $30,000 on Friday for a five-day week ending on that day. The adjusting entry necessary at the end of the fiscal period ending on a Thursday is a. debit Salaries and Wages Payable, $24,000; credit Cash, $24,000. b. debit Salaries and Wages Expense, $24,000; credit Cash, $24,000. c. debit Salaries and Wages Expense, $24,000; credit Salaries and Wages Payable, $24,000. d. debit Salaries and Wages Expense, $6,000; credit Salaries and Wages Payable, $6,000.
145.
SurferRosa Music Store borrowed $30,000 from the bank signing a 9%, 3month note on September 1. Principal and interest are payable to the bank on December 1. If the company prepares monthly financial statements, the adjusting entry that the company should make for interest on September 30, would be a. Debit Interest Expense, $2,700; Credit Interest Payable, $2,700. b. Debit Interest Expense, $225; Credit Interest Payable, $225. c. Debit Notes Payable, $2,700; Credit Cash, $2,700. d. Debit Cash, $675; Credit Interest Payable, $675.
146.
Nirvana Corporation issued a one-year, 9%, $400,000 note on April 30, 2015. Interest expense for the year ended December 31, 2015 was a. $21,000. b. $24,000. c. $27,000. d. $36,000.