1. Your company sells $53,000 of one-year, 12% bonds for an issue price of $45,500. The journal entry to record this transaction will include a credit to Bonds Payable in the amount of:
2. During one pay period, Star Valley Company distributes $132,000 to employees as net pay. The income tax withholdings were $19,300 and the FICA withholdings were $8,945. Total payroll costs to the company for this pay period, excluding any unemployment taxes, was:
3. Lightning Electronics is a midsize manufacturer of lithium batteries. The company’s payroll records for the November 1–14 pay period show that employees earned wages totaling $62,000 but that employee income taxes totaling $8,200 and FICA taxes totaling $3,225 were withheld from this amount. The net pay was directly deposited into the employees’ bank accounts. What is the net pay & the total payroll costs?
1. Answer: $53,000
The journal entry will debit cash $45,500 and credit discount on bonds payable $7,500 and bonds payable $53,000.
2. Answer: $169,190
Total payroll costs = Gross pay + Employer's share of FICA taxes = ($132,000 + $19,300 + $8,945) + $8,945 = $160,245 + $8,945 = $169,190
3. Net Pay: $50,575
Net pay = Total Wages - Withholdings = $62,000 - ($8,200 + $3,225) = $62,000 - $11,425 = $50,575
Total Payroll Costs: $65,225
Total payroll costs = Total wages + Employer's share of FICA taxes = $62,000 + $3,225 = $65,225
1. Your company sells $53,000 of one-year, 12% bonds for an issue price of $45,500. The journal entry to record this tra...
Lightning Electronics is a midsize manufacturer of lithium batteries. The company’s payroll records for the November 1–14 pay period show that employees earned wages totaling $59,000 but that employee income taxes totaling $7,900 and FICA taxes totaling $3,075 were withheld from this amount. The net pay was directly deposited into the employees’ bank accounts. Required: What was the amount of net pay? Assuming Lightning Electronics also must pay $340 of unemployment taxes for this pay period, what amount would be...
You received partial credit in the previous attempt. Lightning Electronics is a midsize manufacturer of lithium batteries. The company's payroll records for the November 1-14 pay period show that employees earned wages totaling $52,000 but that employee income taxes totaling $7,200 and FICA taxes totaling $2,725 were withheld from this amount. The net pay was directly deposited into the employees' bank accounts. Required: 1. What was the amount of net pay? 2. Assuming Lightning Electronics also must pay $270 of...
During one pay period, Star Valley Company distributes $139,000 to employees as net pay. The income tax withholdings were $20,700 and the FICA withholdings were $9,069. Total payroll costs to the company for this pay period, excluding any unemployment taxes, was: Multiple Choice $159,700. $168,769. $177,838. $139,000.
Lightning Electronics is a midsize manufacturer of lithium batteries. The company's payroll records for the November 1-14 pay period show that employees earned wages totaling $50,000 but that employee income taxes totaling $7.000 and FICA taxes totaling $2,625 were withheld from this amount. The net pay was directly deposited into the employees bank accounts, Assume Lightning Electronics also must pay $250 of unemployment taxes for this pay period. Prepare the journal entry or entries that Lightning would use to record...
During one pay period, your company distributes $130,500 to employees as net pay. The income tax withholdings were $19,000 and the FICA withholdings were $8,919. Total payroll costs to the company for this pay period, excluding any unemployment taxes, was: Multiple Choice Ο $149,500. Ο $130,500. Ο S167338, Ο $158.419.
Your company sells $200,000 of bonds for an issue price of $209,000. Which of the following statements is correct? Multiple Choice The bond sold at a price of 52.25, implying a discount of $9,000. The bond sold at a price of 104.50, implying a premium of $9,000. The bond sold at a price of 52.25, implying a premium of $9,000. The bond sold at a price of 104.50, implying a discount of $9,000 Sierra Blanca Co. is required to match...
One Product Corporation (OPC) incorporated at the beginning of last year. The balances on its post-closing trial balance prepared on December 31, at the end of its first year of operations, were: Cash 20,080 Accounts Receivable 8,240 Allowance for Doubtful Accounts 955 Inventory 12,600 Prepaid Rent 1,740 Equipment 33,400 Accumulated Depreciation 3,240 Accounts Payable 0 Sales Tax Payable 500 FICA Payable 600 Withheld Income Taxes Payable 500 Salaries and Wages Payable 1,600 Unemployment Tax Payable 300 Deferred Revenue 4,500 Interest...
Use this information for Harris Company to answer the following questions Assuming no employees are subject to ceilings for their earnings. Harris Company has the following information for the pay period of January 15-31 Gross payroll Social security rate Medicare rate SI0.000 6.0% 1.5% Federal income tax withheld Federal unemployment tax rate State unemployment tax rate SI SOO OS _1. Salaries Payable would be recorded for a. $8,200 b. $6,830 c. 58,630 d. 57,450 2. A pension plan that promises...
One Product Corporation (OPC) incorporated at the beginning of last year. The balances on its post-closing trial balance prepared on December 31, at the end of its first year of operations, were: Cash 21,980 Accounts Receivable 8,310 Allowance for Doubtful Accounts 1,065 Inventory 12,420 Prepaid Rent 1,960 Equipment 46,600 Accumulated Depreciation 4,560 Accounts Payable 0 Sales Tax Payable 500 FICA Payable 600 Withheld Income Taxes Payable 500 Salaries and Wages Payable 1,600 Unemployment Tax Payable 300 Deferred Revenue 4,500 Interest...
One Product Corp. (OPC) incorporated at the beginning of last year. The balances on its postclosing trial balance prepared on December 31, at the end of its first year of operations, were: Cash $ 19,500 Accounts Receivable 8,250 Allowance for Doubtful Accounts 885 Inventory 12,060 Prepaid Rent 1,600 Equipment 25,000 Accumulated Depreciation 2,400 Accounts Payable 0 Sales Tax Payable 500 FICA Payable 600 Withheld Income Taxes Payable 500 Salaries and Wages Payable 1,600 Unemployment Tax Payable 300 Unearned Revenue 4,500...