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Before recording adjusting entries at the end of 20x1, Kalgan Company carried balances of $409,000 in wages expense and SO in wages payable December 31,

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Before recording adjusting entries at the end of 20x1, Kalgan Company carried balances of $409,000 in wages expense and SO in wages payable December 31, 20x1 fell on a Thursday. The business did not pay wages on that day, but followed its normal pattern and disbursed $2,500 to the employees on the first Friday of 20x2 to compensate them for the five day workweek then ended. Which of the following will Kalgan Company present on its income statement for the year ended December 31, 20x1? a. Wages Payable with a balance of $409,000 b. Wages Expense with a balance of $409,000 c. Wages Expense with a balance of $411,000 d. Wages Payable with a balance of $411,000 e. Wages Expense with a balance of $2,000 QUESTION 21 Prior to preparing adjusting entries at year-end, Haven Media, a radio station, had a balance of $562,000 in advertising revenue. On December 12, Haven received $18,000 from an advertiser. This amount represented a payment in advance for 18 ads to be aired in the next sixty days. Haven recorded this receipt as unearned revenue. Through December 31, Haven Media had run 4 of these ads. What is the amount of the adjusting entry that Haven Media must record to bring the accounts up-to-date at year-end? a. $18,000 b. $4,000 c. $566,000 d. $1,000 e. $14,000 QUESTION 22 Prior to preparing adjusting entries at year-end, Haven Media, a radio station, had a balance of $562,000 in advertising revenue. On December 12, Haven received $18,000 from an advertiser. This amount represented a payment in advance for 18 ads to be aired in the next sixty days. Haven recorded this receipt as unearned revenue. Through December 31, Haven Media had run 4 of these ads. What will the balance of unearned revenue be after Haven Media records the appropriate adjusting entry at year-end? a. $566,000 b. $18,000 c. $4,000 d. $14,000 e. $1,000

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