It is the year end,but not the pay period end.How will this affect the balance sheet?
A)Assets will be decreased.
B)Liabilities will be increased.
C)Owner's equity will be increased.
D)This has no effect on the period end balance sheet.

Question

Quizplus · Accepted Answer

At year end, if it is not the pay period end, wages or salaries that are owed but not yet paid will be recorded as liabilities, increasing the liabilities on the balance sheet.

It Is the Year End,but Not the Pay Period End