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Title: Aaa

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Subject: Technology
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Date: March 22, 2002
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Length: 3 / 617
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GuCo had 19X5 sales of $500,000, but paid only $21,000 in commissions. How much does GuCo accrue in commissions on December 31? Mastering Adjusting Entries 20 SOLUTION 1: To compute: $500,000 sales for 19X5 x 5% = $25,000 commissions payable in 19X5...

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$25,000 payable – $21,000 actually paid = $4,000 accrued commissions. The adjusting journal entry is: Commissions Expense 4,000 Commissions Payable 4,000 To accrue 19X5 commissions PROBLEM 2: On December 31, SuCo receives a $740 phone bill that it will pay the following month...

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