Answer:
a) The debit and credit side of the unadjusted trial balance would be increased by $ 5200.
b) The debit side would remain unchanged. No effect will be seen in the adjusted trial balance.
Explanation:
Effect of adjustments on adjusted Trial Balance.
This first entry would increase the wages expense and increase the liability account in the adjusted trial balance. Both debit and credit side would be increased by an equal amount.
b) This would decrease the Supplies account and increase the supplies expense in the unadjusted account. As both are on the debit side there would be no effect in the debit total.
Sr No Account Debit Credit
<u>Original Entries</u>
a. Wages Expense 5200
Accounts Payable 5200
b. Supplies Expense 1125
Supplies Account 1125
<u>Correct Entries</u>
a. Wages Expense 5200
Accrued Wages Account Payable 5200
b. Supplies Expense 1125
Supplies Account 1125
<u>Difference:</u>
<u>a)</u> We see that the first entry which was original passed the debit side is correct but the credit side would have been of accrued wages instead of accounts payable . This is to raise the amount by which wages are still outstanding by an amount 5200 at the end of the month.
This would decrease the accounts payable increase the wages payable . If the adjustment is not made it the salaries payable is understated .
<u>b)This adjusting entry is correct.</u>
ANSWER
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Explanation:
Answer:
So the amount of sales needed will be $144000
Explanation:
We have given selling price per unit =$8
Variable cost per unit = $4.90
Contribution margin per unit = 8-4.90=$3.1
Contribution margin Ratio = 
Fixed costs = $37200
Target profit= $18600
Required Sales amount to earn the desired profit = 

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