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omeli
25 days ago
14

Austin Company pays daily wages of $645 (Monday - Friday). Paydays are every other Friday. Prepare the Monday, January 31 adjust

ing entry, assuming that the previous payday was Friday, January 21. b. Prepare the journal entry to record the Austin Company’s payroll on Friday, February 4. c. Annual depreciation expense on the company’s fixed assets is $39,600. Prepare the adjusting entry to recognize depreciation for the month of January. d. The company’s office supplies account shows a debit balance of $3,755. A count of office supplies on hand on January 31 shows $635 worth of supplies on hand. Prepare the January 31 adjusting entry for Office Supplies.
Business
1 answer:
Mariulka [3.1K]25 days ago
4 0

Answer:

Explanation:

The adjusting entries are detailed below:

1. Debit Wages Expense A/c $2,580 ($645 × 4 days)

         Credit Wages Payable A/c           $2,580

(Recording the adjustment for wages)

2. Debit Depreciation expense A/c $39,600

          Credit Accumulated depreciation        $39,600

(Recording the adjustment for depreciation expense)

3. Debit Office supplies expense A/c $3,120 ($3,755 - $635)

           Credit Office supplies A/c                        $3,120

(Recording the adjustment for office supplies)

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