Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
The auditors of Atherton Ltd detected a number of issues in their review of the draft financial statements for the year ended 30 June 2035.
The auditors of Atherton Ltd detected a number of issues in their review of the draft financial statements for the year ended 30 June 2035. One issue involved wages expense. The required accrual of wages was calculated to be $88,000 but the balance day adjustment was not recorded on 30 June 2035. This error was detected by the auditors on 10 July 2035.
Assume this is a material error.
The entry to correct wages expense is: | Answer 1Choose...30/06/35 CR Wages expense $88,00030/06/35 CR Wages payable $88,00030/06/35 DR Wages payable $88,00030/6/35 DR Wages expense $88,000 |
The entry to correct wages payable is: | Answer 2Choose...30/06/35 CR Wages expense $88,00030/06/35 CR Wages payable $88,00030/06/35 DR Wages payable $88,00030/6/35 DR Wages expense $88,000 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started