In January, the payroll supervisor determines that gross earnings for Concord Company are $84,000. All earnings are subject to 7.65% FICA taxes, 5.40% state unemployment taxes, and 0.60% federal unemployment taxes. (b) Record the employer's payroll taxes. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to O decimal places, e.g. 125.) Account Titles and Explanation Debit Credit
Q: Problem 2 On January 2, 2022, SD Company signed an agreement to operate as a franchisee of TQ…
A: If the collection of franchisee income is not reasonably assured then the revenue is not recognized…
Q: On July 1 of Year 1, West Company purchased for cash, 8, $10,000 bonds of North Corporation to yield…
A: The interest income on the bond is computed by multiplying the amortized cost by the market interest…
Q: 1 entry worksheet 2 Date Nov. 1 3 Note: Enter debits before credits. 4 5 General Journal 6 Clear…
A: The journal entries are prepared to record the transactions on regular basis. The shares issued at…
Q: No. Date Transaction 1 2 77/2 3 4 5 6 7 8 9 10 11 12 13 14 7/3 7/3 7/3 7/5 715 7/6 7/6 777 777 7/8…
A: Journal entry It s a record of a business transactions in the business books. In double-entry…
Q: The Hum Division of the Ho Company reported the following data for last year: Net operating income…
A: The profitability and effectiveness of an investment are assessed using the financial statistic…
Q: The controller of MingWare Ceramics Inc. wishes to prepare a cost of goods sold budget for…
A: The budgeted cost of goods sold statement shows the total cost to be incurred in manufacturing and…
Q: Nena’s Lechon, Inc. franchise, entered into franchise agreement with Aling Nene, franchisee, on…
A: A franchise is an agreement in which the right to run a business using the franchisor's well-known…
Q: Hiking General Store prepared the following sales budget: MONTH BUDGETED SALES MARCH RM4,000.00…
A: Purchase budget :— This budget is prepared to estimate the amount of materials to be purchased for…
Q: naterials at a st sed in June was $13.20 per square foot, and that the direct materials purchase…
A: Given details of material: Standard quantity for actual output= 11,900 square feet Standard…
Q: Peace Co. purchased land as a factory site for P300,000. Peace paid P30,000 to tear down two…
A: Cost of Building include Architect's Fees, Liability Insurance Cost, Excavation Cost, Contractor's…
Q: What is the difference of the amount of P5,000.00 3 years from now for a 10% simple interest and 10%…
A: Simple interest is a technique used to calculate amount of interest expected to be earned on an…
Q: Torello Corporation manufactures two products: Product H95V and Product V93N. The company uses a…
A: Overhead rate is the cost allocated to a product or service. It is the calculated by dividing the…
Q: Required information [The following information applies to the questions displayed below) Altira…
A: A perpetual inventory system is a program that continuously estimates your inventory based on your…
Q: Required: Using calculations based on a periodic inventory system, determine the inventory balance…
A: FIFO Cost of Goods Available for sale Cost of Goods Sold -Periodic Fifo Ending Inventory -Periodic…
Q: Mercury, Incorporated, produces cell phones at its plant in Texas. In recent years, the company's…
A: The quality cost report is prepared using the four quality cost classified based on prevention…
Q: PROBLEM B: SUN CELL Company sold Cellphones on installment basis on July 1, 2023. The Unit cost to…
A: Installment method : The payment received after the sales are either in lump-sum or in installment,…
Q: Please no written by hand solutions A negotiable instrument that gives the owner a proportionate…
A: A negotiable instrument is a document or piece of paper that represents a legally enforceable right…
Q: Company B acquired the rights to use a mine for gold for $100,000. They expect the mine to provide…
A: The cost of a natural resource (less expected residual value) is divided by the estimated units in…
Q: NIKE, INC. Consolidated Statement of Income In $ Millions Revenues Cost of sales Gross profit Demand…
A: A financial analysis method known as "horizontal analysis," often called "trend analysis," examines…
Q: On December 31, 2019,
A: Unearned revenue is the money received by an individual in advance against which service or product…
Q: Ms. Ray is age 46 and single. This year, Mr. Ray's retirement savings included a $2,895 employer…
A: A traditional IRA is a type of retirement savings account where individuals can contribute pre-tax…
Q: Pronghorn Company had the following two transactions related to its delivery truck. Paid $110 for an…
A: The process of recording transactions in a business's many books of accounts, such as its cash book,…
Q: Waterhouse Company plans to issue bonds with a face value of $500,500 and a coupon rate of 8…
A: Bond investments can help diversify a portfolio of investments and give a reliable source of income…
Q: On May 10, Pronghorn Corporation issues 2,700 shares of $10 par value common stock for cash at $18…
A: Face value of the share is the stock value given to the shares and printed in the share certificate.…
Q: Now prepare the income statement under absorption costing for the year ended December 31, 2020. Cor…
A: Beginning inventory + Production= Sales + Ending inventory 88,000 + Production= 415,000 + 31,000…
Q: On January 1, 2024, Whittington Stoves issued $800 million of its 8% bonds for $736 million. The…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: ● ● ● Example 4 Product Emphasis Decisions AMD AMD manufactures two main families of microprocessor…
A: Here, it is given that there are no resource constraints and the requirement is to conclude the…
Q: Use Exhibit 20-3, Stock Quotation Table, to find the information for the stock. ABB ADR net change,…
A: Dividend is a share of profits and retained earnings that company pay to its shareholder.
Q: Industries manufactured 2,000 units of its product Huge in the month of Aprilincurred a total cost…
A: Per unit product cost = Total cost /Total Units manufactured
Q: Sales 84,000 90,000 124,000 97,000 y is now in the process of preparing a production budget for the…
A: Ending inventory = 20% of next month's sales units March = 16,800 Units April = 20% * 90,000 =…
Q: omfy Furniture Company manufactures furniture at its Akron, Ohio, factory. Some of its costs from…
A: The period costs are the costs that are not related to production process. The selling and…
Q: The most recent financial statements for Hornick, Inc., are shown below (assuming no income axes).…
A: As per Question, next year’s sales are projected to be $8968 and debt and equity aren’t propotional…
Q: Kingbird County Bank agrees to lend the Ivanhoe Brick Company $450000 on January 1. Ivanhoe Brick…
A: Lets understand the basics. Adjusting entry is required to pass to record correct amount of revenue…
Q: To reconcile the total cost of Work in Process Inventory, the costs that were in Work in Process…
A: The work-in-process inventory is used to refer to partly finished materials and is that inventory is…
Q: As the tax assessor for Indian Creek County, you have been informed that due to budgetary demands, a…
A: Property tax is a tax which is levied by a government on a real property owned by an individual or…
Q: 10. Kragle Corporation reported the following financial data for one of its divisions for the year;…
A: Ratio analysis is a technique of analysis of the financial statements by computing various ratios.…
Q: Recording Costs for Self-Constructed Asset Amethyst Company constructed a building and incurred the…
A: Golden Rules of Accounting: Account Debit Credit Personal Accounts The Receiver The…
Q: Current Attempt in Progress In reporting discontinued operations, the income statement should show…
A: Income statement shows company's income and expenses over a period of time. Revenues, Expenses, and…
Q: Required information Tuscaloosa National Bank has two service departments, the Human Resources (HR)…
A: Budgeted costs: HR = $171,000 Computing = $232,900 Usages: HR: Deposit = 70%, Loan = 20% Computing:…
Q: Which of the following formulas in cell CB, when copied to cells C9 through C12, would yield the…
A: The double declining balance (DDB) depreciation method is an approach to accounting that involves…
Q: Required information Use the following information for Exercises 4-5 below. (Algo) [The following…
A: The shares can be issued for cash or for payment of any other expense of the business. The excess…
Q: 10-14 "Stockholders' Equity section of balance sheet Premium Imports Inc. retails racing products…
A: Stockholders' equity represents total amount belonging to the stockholders of the company. It…
Q: Question 6 of 10 The following are two independent situations. (Ignore cost of goods sold entries.)…
A: The account receivable factoring means receiving the cash from third party against the account…
Q: On December 31, 2021, the end of its first year of operations, Sunland Associates owned the…
A: The acquisition of assets, such as stocks, bonds, or other financial instruments, with the aim of…
Q: Budget Drill #9 Typhanye Company budgeted its January sales to be 20,000 units of its interactive…
A: Budgeting - Budgeting is the process of estimating future operations based on past performance. %…
Q: Determining cost of land On-Time Delivery Company acquired an adjacent lot to construct a new…
A: The cost of land includes the purchase price, taxes, other costs to make land ready for use. The…
Q: Maytag manufactures washing machines. The cost associated for washer model 100 are: direct material…
A: The variable costs are the only costs that should be incurred for special order. The additional…
Q: Create a Balance sheet for this information given:
A: Balance Sheet : A balance sheet is a type of financial statement that shows the state of a company's…
Q: Mercer Asbestos Removal Company removes potentially toxic asbestos insulation and related products…
A: Under Activity based costing method, the cost is allocated to each activity based on their…
Q: The jarvis corporation produces bucket loader assemblies for the tractor industry. The product has a…
A: The Just-in-Time (JIT) Inventory System is installed to reduce the ending inventory for materials,…
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- The totals line from Nix Companys payroll register for the week ended March 31, 20--, is as follows: Payroll taxes are imposed as follows: Social Security tax, 6.2%; Medicare tax, 1.45%; FUTA tax, 0.6%; and SUTA tax, 5.4%. REQUIRED 1. a. Prepare the journal entry for payment of this payroll on March 31, 20--. b. Prepare the journal entry for the employers payroll taxes for the period ended March 31, 20--. 2. Nix Company had the following balances in its general ledger before the entries for requirement ( 1 ) were made: a. Prepare the journal entry for payment of the liabilities for federal income taxes and Social Security and Medicare taxes on April 15, 20--. b. Prepare the journal entry for payment of the liability for FUTA tax on April 30, 20--. c. Prepare the journal entry for payment of the liability for SUTA tax on April 30, 20--.Wallace Corporation summarizes the following information from its weekly payroll records during April. Prepare the two journal entries to record the payment of the payroll and the accrual of its payroll taxes for April. Assume an 8% FICA rate for both employees and the employer. Also assume a 5.4% state unemployment tax rate, a 0.6% federal unemployment tax rate, and that all wages are subject to all payroll taxes. Round to the nearest dollar.On September 30, Cody Companys selected account balances are as follows: In general journal form, prepare the entries to record the following: Oct. 15Payment of liabilities for FICA taxes and the federal income tax. 31Payment of liability for state unemployment tax. 31Payment of liability for federal unemployment tax.
- On January 21, the column totals of the payroll register for Great Products Company showed that its sales employees had earned 14,960, its truck driver employees had earned 10,692, and its office employees had earned 8,670. Social Security taxes were withheld at an assumed rate of 6.2 percent, and Medicare taxes were withheld at an assumed rate of 1.45 percent. Other deductions consisted of federal income tax, 3,975, and union dues, 560. Determine the amount of Social Security and Medicare taxes withheld and record the general journal entry for the payroll, crediting Salaries Payable for the net pay. All earnings were taxable. Round amounts to the nearest penny.On January 21, the column totals of the payroll register for Great Products Company showed that its sales employees had earned 14,960, its truck driver employees had earned 10,692, and its office employees had earned 8,670. Social Security taxes were withheld at an assumed rate of 6.2 percent, and Medicare taxes were withheld at an assumed rate of 1.45 percent. Other deductions consisted of federal income tax, 3,975, and union dues, 560. Determine the amount of Social Security and Medicare taxes withheld and record the general journal entry for the payroll, crediting Salaries Payable for the net pay. All earnings were taxable. Round amounts to the nearest penny.Adams, Inc., pays its employees weekly wages in cash. A supplementary payroll sheet that lists the employees names and their earnings for a certain week is shown below. Complete the payroll sheet by calculating the total amount of payroll and indicating the least possible number of denominations that can be used in paying each employee. However, no employees are to be given bills in denominations greater than 20.
- In the Illustrative Case in this chapter, payroll transactions for Brookins Company were analyzed, journalized, and posted for the third quarter of the fiscal year. In this problem, you are to record the payroll transactions for the last quarter of the firms fiscal year. The last quarter begins on April 1, 20--. Refer to the Illustrative Case on pages 6-27 to 6-33 and proceed as follows: a. Analyze and journalize the transactions described in the following narrative. Use the two-column journal paper provided on pages 6-49 to 6-53. Omit the writing of explanations in the journal entries. b. Post the journal entries to the general ledger accounts on pages 6-54 to 6-59. Narrative of Transactions: c. Answer the following questions: 1. The total amount of the liability for FICA taxes and federal income taxes withheld as of June 30 is................................................................................ __________ 2. The total amount of the liability for state income taxes withheld as of June 30 is....................................................................................................... __________ 3. The amount of FUTA taxes that must be paid to the federal government on or before August 1 (assume July 31 is a Sunday) is........................................ __________ 4. The amount of contributions that must be paid into the state unemployment compensation fund on or before August 1 is.................................................. __________ 5. The total amount due the treasurer of the union is........................................ __________ 6. The total amount of wages and salaries expense since the beginning of the fiscal year is.................................................................................................... __________ 7. The total amount of payroll taxes expense since the beginning of the fiscal year is............................................................................................................. __________ 8. Using the partial journal below, journalize the entry to record the vacation accrual at the end of the companys fiscal year. The amount of Brookins Companys vacation accrual for the fiscal year is 15,000.Click the Chart sheet tab. On the screen is a chart of the four payroll taxes that a company might incur in total during the year. The four taxes are federal unemployment, state unemployment, Social Security, and Medicare. By the behaviors shown on the chart, identify below which of the four taxes each represents. Series 1 _____ Series 2 _____ Series 3 _____ Series 4 _____ When the assignment is complete, close the file without saving it again. TICKLERS (optional) Worksheet. A new employee was hired during November and was mistakenly omitted from the payroll register. The employees last name is Zuckerman, and his gross pay for November is 1,300. Add the new employee to the PR5 worksheet and include all standard withholding rates in computing net pay. Federal income tax withheld is 101. He is a union member. Preview the printout to make sure that the worksheet will print neatly on one page, and then print the worksheet. Save the completed file as PRT. Chart. Using the PR4 file, prepare a 3-D pie chart to show the percentage of an employees gross pay that is withheld for taxes, Social Security, and so on, and how much is left over as net pay. Use Smith as your example. Complete the Chart Tickler Data Table and use it as a basis for preparing the chart. Enter your name somewhere on the chart. Save the file again as PR4. Print the chart.Payroll Accounting Jet Enterprises has the following data available for its April 30, 2019, payroll: *All subject to Social Security and Medicare matching and withholding of 6.2% and 1.45%, respectively. Federal unemployment taxes of 0.70% and state unemployment taxes of 0.90% are payable on $405,700 of the wages earned. Required: 1. Compute the amounts of taxes payable and the amount of wages that will be paid to employees. Then prepare the journal entries to record the wages earned and the payroll taxes. ( Note: Round to the nearest penny.) 2. CONCEPTUAL CONNECTION Jet would like to hire a new employee at a salary of $65,000. Assuming payroll taxes are as described above (with unemployment taxes paid on the first $9,000) and fringe benefits (e.g., health insurance, retirement, etc.) are 25% of gross pay, what will be the total cost of this employee for Jet?
- Payroll accounts and year-end entries The following accounts, with the balances indicated, appear in the ledger of Garcon Co. on December 1 of the current year: The following transactions relating to payroll, payroll deductions, and payroll taxes occurred during December: Instructions 1. Journalize the transactions. 2. Journalize the following adjusting entries on December 31: a. Salaries accrued: operations salaries, 8,560; officers salaries, 5,600; office salaries, 1,400. The payroll taxes are immaterial and are not accrued. b. Vacation pay, 15,000.Payroll accounts and year-end entries The following accounts, with the balances indicated, appear in the ledger of Codigo Co. on December 1 of the current year: The following transactions relating to payroll, payroll deductions, and payroll taxes occurred during December: Instructions 1. Journalize the transactions. 2. Journalize the following adjusting entries on December 31: a. Salaries accrued: sales salaries, 4,275; officers salaries, 2,175; office salaries, 825. The payroll taxes are immaterial and are not accrued. b. Vacation pay, 13,350.Payment and distribution of payroll The general ledger of Berskshire Mountain Manufacturing Inc. showed the following credit balances on January 15: Direct labor earnings amounted to 10,500 from January 16 to 31. Indirect labor was 5,700, and sales and administrative salaries for the same period amounted to 3,800. All wages are subject to FICA, FUTA, state unemployment taxes, and 10% income tax withholding. Required: 1. Prepare the journal entries for the following: a. Recording the payroll. b. Paying the payroll. c. Recording the employers payroll tax liability. d. Distributing the payroll costs for January 1631. 2. Prepare the journal entry to record the payment of the amounts due for the month to the government for FICA and income tax withholdings. 3. Calculate the amount of total earnings for the period from January 1 to 15. 4. Should the same person be responsible for computing the payroll, paying the payroll and making the entry to distribute the payroll? Why or why not?