Chapter 8 Homework i Saved Check my work mode : This shows what is correct or incorrect for the work you have completed so far A machine costing $215,400 with a four-year life and an estimated $19,000 salvage value is installed in Luther Company's factory on January 1. The factory manager estimates the machine will produce 491,000 units of product during its life. It actually produces the following units: 121,400 in 1st year, 124,100 in 2nd year, 120,200 in 3rd year, 135,300 in 4th year. The total number of units produced by the end of year 4 exceeds the original estimate-this difference was not predicted. The machine must not be depreciated below its estimated salvage value.) 2.5 points Required: Compute depreciation for each year (and total depreciation of all years combined) for the machine under each depreciation method Round your per unit depreciation to 2 decimal places. Round your answers to the nearest whole dollar.) Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below Units of Straight Line Production DDB Compute depreclatlon for each year (and total depreclatlon of all years comblned) for the machlne under each Double- declining-balance DDB Depreciation for the Period End of Period Beginning of Period Book Value Depreciation Depreciation Accumulated Depreciation Book Value Year Rate Expense $215,400 50% |$ 107,700 >$ 107,700 $ 107,700 53,850 26,925 13,462 107.700 53,850 26.925 3,850161,550 26,925188,475 13,463 50 201,938 S 201,938 Units of Production DDB 6 On January 8, the end of the first weekly pay period of the year, Regis Company's payroll register showed that its employees earned $21,760 of office salaries and $70,840 of sales salaries. Withholdings from the employces' salaries include FICA Social Sccurity taxes at the rate of 6.20%, FICA Medicare taxes at the rate of 1.45%, $12,760 of federal income taxes, $1,360 of medical insurance deductions, and $800 of union dues. No employee earned more than $7,000 in this first period 1.7 points Required 1.1 Calculate below the amounts for cach of these four taxes of Regis Company. Rcgis's merit rating reduces its state unemployment tax rate to 4% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.60%. (Round your answers to 2 decimal places.) Answer is complete and correct. Regis Company's January 8 earnings subject to tax ax Tax Rate Tax Amount FICA-SocialScrity$ FICA-Medicare FUTA SUTA 92,600 92.600 92,600 92,600 6.20% 1.45% 0.60% 4.00% 5,741.20 1.342.70 555.60 3,704.00 1.2 Prepare the journal entry to record Regis Company's January 8 (employee) payroll expenses and liabilities. (Round your answers to 2 decimal places.) Answer is complete and correct Date Debit 21,760.00 70,840.00 No General Journal Credit Jan 08 Office salaries expense Sales salaries expense FICA Social sec. taxes payable FICA-Medicare taxes payable Employee fed. inc. taxes payable Employee medical insurance payable Employee union dues payable Salaries payable 5,741.20 1,342.70 12,760.00 1,360.00 800.00 70,596.10 2. Prepare the journal entry to record Regis's (employer) payroll taxes resulting from the January 8 payroll. Regis's merit rating reduces its state unemployment tax rate to 4% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.60%. (Round your answers to 2 decimal places.) Answer is complete but not entirely correct. No Date General Journal Debit Credit Jan 08 Payroll taxes expense 10,853.50 FICA-Social sec. taxes payable FICA-Medicare taxes payable State unemployment taxes payable Federal unemployment taxes payable 5,741.20 ,342.70 3,544.00 555.60