Pro Incorporated operates five days per week with a daily payroll of $5,000. Employees are paid every Saturday for the workweek just completed (Monday through Friday). The last day of the month is Wednesday, October 31. What is the effect of the correct adjustment at October 31?

A) Increases stockholders' equity and wages payable by $15,000
B) Increases wages payable and decreases cash by $10,000
C) Decreases stockholders' equity and increases wages payable by 15,000
D) Increases wages payable and increases wages expense by $25,000

C

Business

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