Question

Wages amounting rupees 12,000 us given in trial balance's debit side but in adjustment the information says wages have been pain for 10 months only, how to treat it?

Answer 1

Answer:

it means 2 month wages is outstanding and we have to add this in P&L AC Dr. side with wages and in balance sheet liability side

Explanation:

we add this in p&l dr side also in bal sheet liablity side becoz of matching concept