Question

1. The adjusting entry to record the accrual of wages would involve a

a) none of the answers listed

b) credit to Cash.

c) debit to Wages Payable.

d) debit to Wages Expense.

2. The Balance Sheet credit column of the work sheet would include which of the following account(s)?

a) revenue

b) accumulated depreciation, liabilities, capital

c) assets, drawing

d) expenses

3. Which of the following entries contains both a balance sheet account and an income statement account?

a) An adjusting entry

b) A contra entry

c) A matching entry

d) An accumulated entry

e) A mixed entry

4. In recording the adjusting entry for accrued wages, all the accounts involved are decreased.

True

False

5. The adjusting entry to record depreciation of equipment is

a) debit Depreciation Expense; credit Accumulated Depreciation.

b) debit Equipment; credit Accumulated Depreciation.

c) debit Accumulated Depreciation; credit Depreciation Expense.

d) debit Depreciation Expense; credit Depreciation Payable.

e) debit Accumulated Depreciation; credit Equipment.

Answer 1

Solution: 1
	Entry is made for accrual of wages is as below,
	Wages expenses                               Dr.
	Wages payable                            Cr
	Answer = Option D = Debit to wages expense
Solution: 2
	Answer = Option B = Accumulated Depreciation, Liabilities, Capital
Solution: 3
	Answer = Option A = Adjusting Entry
Solution: 4
	No, in this case wages is increases and wages liability is also increases
	So, Answer = False
Solution: 5
	Entry of Deperciation is made as below,
	Depreciation expenses           Dr.
	Accumulated Depreciation Cr.
	Answer = Option A = debit Depreciation Expense; credit Accumulated Depreciation