(Solution) - Assume that Best Buy made a December 31 adjusting entry -(2025 Original AI-Free Solution)

Paper Details

Assume that Best Buy made a December 31 adjusting entry to debit Salaries and Wages Expense and credit Salaries and Wages Payable for $4,200 for one of its departments. On January 2, Best Buy paid the weekly payroll of $7,000. Prepare Best Buy?s
(a) January 1 reversing entry;
(b) January 2 entry (assuming the reversing entry was prepared); and
(c) January 2 entry (assuming the reversing entry was not prepared).