Question: 1. Townes Realty Co. pays weekly salaries of $15,000 on Friday for a five-day week ending on that day. What is the adjustment at the end of the accounting period, assuming that the period ends (a) on Tuesday, (b) on Wednesday? Indicate each account affected, whether the account is increased or decreased, and the amount of the increase or decrease.'
2. The balances of the two wages accounts at December 31, after adjustments at the end of the first year of operations, are Wages Payable, $5,750, and Wages Expense, $133,400. Determine the amount of wages paid during the year.