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FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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
Transcribed Image Text:Pablo Management has four employees, each of whom earns $225 per day. They are paid on Fridays for work completed Monday
through Friday of the same week. Near year-end, the four employees worked Monday, December 31, and Wednesday, Thursday, and
Friday, January 2, 3, and 4. New Year's Day (January 1) was an unpaid holiday.
Prepare the December 31 year-end adjusting entry for wages expense and record payment of the employees' wages on Friday,
January 4.
View transaction list
Journal entry worksheet
1
2
Record the December 31 year-end adjusting entry for wages expense.
Note: Enter debits before credits.
Date
December 31
General Journal
Debit
Credit
Record entry
Clear entry
View general journal
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- Pablo Management has six employees, each of whom earns $150 per day. They are paid on Fridays for work completed Monday through Friday of the same week. Near year-end, the six employees worked Monday, December 31, and Wednesday through Friday, January 2, 3, and 4. New Year's Day (January 1) was an unpaid holiday. Prepare the year-end adjusting entry for wages expense and record payment of the employees' wages on Friday, January 4. View transaction list Journal entry worksheet Record payment of the employees' wages on Friday, January 4. Note: Enter debits before credits. Debit Credit Date General Journal January 04 Wages payable Wages expense Vlew general Journal Clear entry Record entry 1 of 5 Next > Prevarrow_forwarddevratarrow_forwardSheffield Consulting Inc's gross salaries for the biweekly period ended August 24 were $12,500. Deductions included $743 for CPP, $235 for El, and $6,248 for income tax. The employer's payroll costs were $743 for CPP and $329 for El. Prepare journal entries to record (a) the payment of salaries on August 24; (b) the employer payroll costs on August 24, assuming they will not be remitted to the government until September; and (c) the payment to the government on September 15 of all amounts owed. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) No. Date Account Titles and Explanation Debit Cred (a) (b) 15 (b) (c)arrow_forward
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- Beach Vacations pays salaries and wages on the last day of each month. Payments made on December 31, 20X1, for amounts incurred during December are shown below. Cumulative amounts paid prior to the December 31 payroll for the persons named are also shown. a. Francis Fisher, president, gross monthly salary, $11,880, gross earnings paid prior to December 31, $130,680. b. Sandy Swartz, vice president, gross monthly salary, $10,900; gross earnings paid prior to December 31, $109,000. c. Juan Rios, independent accountant who audits the company's accounts and performs certain consulting services, $10,900, gross amount paid prior to December 31, $27,250. d. Harry House, treasurer, gross monthly salary, $5,800; gross earnings paid prior to December 31, $63,800. e. Payment to Daily Security Services for Eddie Martin, a security guard who is on duty on Saturdays and Sundays, $1,180; amount paid to Daily Security Services prior to December 31, $11,800. Required: 1. Assume a 1.45 percent Medicare…arrow_forwardLatan is an employee of Giant Computers where the job responsibilities include selling computers and software to customers. Latan is married filing jointly with two dependents under 17. The annual salary is $49,200 and receives a 3 percent commission on all sales. During the semimonthly pay period ending September 30, Latan sold $21,200 of computers and software. Required: Complete the payroll register for the September 30 pay period with a pay date of October 5. P/R End Date: Check Date: Latan Totals Name 9/30/2022 10/5/2022 Filing Status Dependents Hourly Rate or Period Wage Company Name: Number of Regular Hours Number of Overtime Hours Giant Computers Commissions $ 0 Regular Earnings $ 0 Overtime Earnings Gross Earnings $arrow_forwardOn January 15, the end of the first pay period of the year, North Company's employees earned $40,000 of sales salaries. Withholdings from the employees' salaries include FICA Social Security taxes at the rate of 6.2%, FICA Medicare taxes at the rate of 1.45%, $3,100 of federal income taxes, $593 of medical insurance deductions, and $230 of union dues. No employee earned more than $7,000 in this first period. Prepare the journal entry to record North Company's January 15 salaries expense and related liabilities. View transaction list Journal entry worksheet 1 Record the employee payroll for period. Note: Enter debits before credits. Date January 15 General Journal Debit Credit Record entry Clear entry View general journalarrow_forward
- Brianna Whitman works for Schaum, Whitney, & Matte, LLP, in Washington, D.C., which pays employees on a biweekly basis. Brianna's annual salary is $163,600. The company started in 2021. Required: Calculate the following: (Do not round intermediate calculations. Round your answers to 2 decimal places.) Pay Period End September 24 December 31 Prior YTD Earnings Social Security Taxable Wages Medicare Taxable Wages Employer Share Social Security Tax Employer Share Medicare Taxarrow_forwardFlower's employer pays time-and-a-half for all hours worked in excess of 8 hours per dayand double time for all hours worked on Sundays. Flower's regular hourly rate is $12 per hour.During the week, Flower worked the following hours: Monday, 8; Tuesday, 9; Wednesday, 9;Thursday, 10; Friday, 10; Sunday, 7. Calculate the total gross wages.a) $480.00.b) $534.00.c) $648.00.d) $702.00.e) $642.00.arrow_forwardSwifty Hardware has four employees who are paid on an hourly basis plus time-and-a-half for all hours worked in excess of 40 a week. Payroll data for the week ended March 15, 2022, are presented below. Employee Hours Worked Hourly Rate Federal Income Tax Withholdings United Fund Ben Abel 40 $14.00 $59.00 $5.00 Rita Hager 41 16.00 64.00 5.00 Jack Never 44 13.00 60.00 8.00 Sue Perez 46 13.00 62.00 5.00 Abel and Hager are married. They claim 0 and 4 withholding allowances, respectively. The following tax rates are applicable: FICA 7.65%, state income taxes 3%, state unemployment taxes 5.4%, and federal unemployment 0.6%. 1. Prepare a payroll register for the weekly payroll. No employee has reached the Social Security limit of $132,900 or the FUTA/SUTA limit of $7,000 2. Journalize the payroll on March 15, 2022, and the accrual of employer payroll taxes. 3. Journalize the payment of the payroll on March 16,…arrow_forward
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