During 2023 Annette's Mechanical paid out $85 000 in wages from its bank account. This $85 000 included $5 400 that was owing but unpaid at year-end for 2022. At year-end 2023 wages owing but unpaid were $12 300. The business uses accrual accounting. How much would be reported as wages expense for 2023?

Question 5Answer

a.$97 300

b.$91 900

c.$12 300

d.$85 000