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The total weekly payroll for Fly-By Airlines is $700,000 ($100,000 per day). The company operates seven days a week and pays employees each Wednesday for the previous Monday-Sunday work week. Salaries were last paid on Wednesday, January 28 for the pay period ended January 25. The next pay date is Wednesday February 4. The company's year end is January 31.
Instructions
Problem 1: Prepare the journal entries to record the following:
a. The payment of salaries on January 28
b. The adjusting entry to accrue salaries at year end
c. The payment of salaries on February 4
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