A business pays bi-weekly salaries of 20,000 every other Friday for a ten-day period ending on that day. The last payday of December is Friday, December 27 . Assuming the next pay period begins on Monday, December 30 and the proper adjusting entry is journalized at the end of the fiscal period (December 31). The entry for the payment of the payroll on Friday, January 10 includes a
a. debit to Salary Expense of 16,000 b. debit to Salary Expense of 4,000
c. credit to Salary Payable of 16,000 d. credit to Salary Payable of 4,000
Question 2
Liabilities in the General Fund and Special Revenue Fund represent:
a. claims against the fund's cash resources
b. claims against the fund's current financial resources
c. claims against the fund's economic resources
d. claims that must be paid within one year
