You are the business owner of Entity A. You have 10 employees, each earning P20,000 per month. You pay salaries on a bi-monthly basis. During the month of April 20x1, none of your employees were absent, late or have rendered overtime service. When will you recognize the salaries expense (and at what amount) for the first payday in the month of April 20x1? Timing of recognition a. April 1 b. April 15 c. April 1 d. April 15 Amount recognized 20,000 20,000 100,000 100,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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You are the business owner of Entity A. You have 10 employees, each earning P20,000 per
month. You pay salaries on a bi-monthly basis. During the month of April 20x1, none of your
employees were absent, late or have rendered overtime service. When will you recognize the
salaries expense (and at what amount) for the first payday in the month of April 20x1?
Timing of recognition
Amount recognized
a. April 1
b. April 15
c. April 1
d. April 15
20,000
20,000
100,000
100,000
Transcribed Image Text:You are the business owner of Entity A. You have 10 employees, each earning P20,000 per month. You pay salaries on a bi-monthly basis. During the month of April 20x1, none of your employees were absent, late or have rendered overtime service. When will you recognize the salaries expense (and at what amount) for the first payday in the month of April 20x1? Timing of recognition Amount recognized a. April 1 b. April 15 c. April 1 d. April 15 20,000 20,000 100,000 100,000
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