The following payroll journal entries for Oct. 15 were made by your predecessor. For FICA tax,...

   

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The following payroll journal entries for Oct. 15 were made by your predecessor. For FICA tax, assume that the social security rate is 6.0% and the Medicare rate is 1.5%. The state and federal unemployment tax rates are 5.4% and 0.8%, respectively. The company offers 401k plans to employees. Review the journal entries, then answer the questions that follow. 1 2 3 4 6 8 9 10 11 12 13 14 15 16 17 DATE Oct. 15 Sales Salaries Expense Officers Salaries Expense Office Salaries Expense Factory Wages Expense Social Security Tax Payable Medicare Tax Payable Employees Federal Income Tax Payable Medical Insurance Payable Retirement Contributions Payable Salaries Payable 15 Payroll Tax Expense DESCRIPTION Social Security Tax Payable Medicare Tax Payable Federal Unemployment Tax Payable State Unemployment Tax Payable 15 Pension Expense Cash JOURNAL POST. REF. DEBIT 123,000.00 442,800.00 82,000.00 172,200.00 62,864.00 73,800.00 CREDIT 49,200.00 12,300.00 147,600.00 90,200.00 123,000.00 397,700.00 49,200.00 12,300.00 176.00 1,188.00 73,800.00 ASSETS ↓ ACCOUNTING EQUATION LIABILITIES ↑ ↑ ↑ ↑ ↑ ↑ 1 ↑ PAGE 32 ↑ ↑ EQUITY 1 1 Į Į Į ↓ ter 10 - Mastery Problems 10 11 12 13 14 15 16 17 Salaries Payable 15 Payroll Tax Expense Social Security Tax Payable Medicare Tax Payable Federal Unemployment Tax Payable State Unemployment Tax Payable 15 Pension Expense Cash 1. Determine the payroll amount subject to federal and state unemployment taxes in this payroll. $61,500 X 2. What is the total payroll for Copperfield and Company shown in these journal entries? $534,364 X 3. What is Copperfield and Company's share of FICA taxes in this payroll? $3,137 X 4. How much has Copperfield and Company contributed to employee 401k plans in this payroll? 62,864.00 $73,800✔ 73,800.00 397,700.00 49,200.00 12,300.00 176.00 1,188.00 73,800.00 In order to confirm the previous clerk's payroll calculations, you have been asked to supply the following amounts based on your review of the payroll entries. These amounts will be checked against the company records and investigated further if necessary. ↓ ↑ ↑ ↑ ↑ ↑ Points: Points: Points: ↓ Points: ↓ 0/1 0/1 0/1 1/1 Short-Term Note Payable Copperfield and Company issued a 90-day, 6.00% note for $200,000 to a creditor on account. The previous clerk entered the following journal entries to record the note on July 10, and the payment of the note at maturity. 1 2 3 4 5 DATE 1 Jul. 10 Accounts Payable Notes Payable 2 3 Notes Payable How does grading work? Accounts Payable Interest Expense DATE DESCRIPTION Oct. 8 Notes Payable Notes Payable Interest Expense JOURNAL DESCRIPTION Journalize the payment of the note at maturity as it should have been journalized. Don't forget to include the date. Assume a 360-day year. POST. REF. JOURNAL ✓ DEBIT 200,000.00 You notice that the journal entry for recording the note on July 10 is correct, but the entry for the payment of the note at maturity (including interest) did not have a date and was not correct. 212,000.00 POST. REF. CREDIT 200,000.00 DEBIT 212,000.00 200,000.00 12,000.00 Score: 24/37 CREDIT Shaded cells have feedback. 200,000.00 12,000.00 ACCOUNTING EQUATION ASSETS LIABILITIES EQUITY Į ↑ ↓ ↑ ASSETS PAGE 25 LIABILITIES ↓ ACCOUNTING EQUATION ↑ ↑ ✓ PAGE 25 EQUITY ↑ LEUT The following payroll journal entries for Oct. 15 were made by your predecessor. For FICA tax, assume that the social security rate is 6.0% and the Medicare rate is 1.5%. The state and federal unemployment tax rates are 5.4% and 0.8%, respectively. The company offers 401k plans to employees. Review the journal entries, then answer the questions that follow. 1 2 3 4 6 8 9 10 11 12 13 14 15 16 17 DATE Oct. 15 Sales Salaries Expense Officers Salaries Expense Office Salaries Expense Factory Wages Expense Social Security Tax Payable Medicare Tax Payable Employees Federal Income Tax Payable Medical Insurance Payable Retirement Contributions Payable Salaries Payable 15 Payroll Tax Expense DESCRIPTION Social Security Tax Payable Medicare Tax Payable Federal Unemployment Tax Payable State Unemployment Tax Payable 15 Pension Expense Cash JOURNAL POST. REF. DEBIT 123,000.00 442,800.00 82,000.00 172,200.00 62,864.00 73,800.00 CREDIT 49,200.00 12,300.00 147,600.00 90,200.00 123,000.00 397,700.00 49,200.00 12,300.00 176.00 1,188.00 73,800.00 ASSETS ↓ ACCOUNTING EQUATION LIABILITIES ↑ ↑ ↑ ↑ ↑ ↑ 1 ↑ PAGE 32 ↑ ↑ EQUITY 1 1 Į Į Į ↓ ter 10 - Mastery Problems 10 11 12 13 14 15 16 17 Salaries Payable 15 Payroll Tax Expense Social Security Tax Payable Medicare Tax Payable Federal Unemployment Tax Payable State Unemployment Tax Payable 15 Pension Expense Cash 1. Determine the payroll amount subject to federal and state unemployment taxes in this payroll. $61,500 X 2. What is the total payroll for Copperfield and Company shown in these journal entries? $534,364 X 3. What is Copperfield and Company's share of FICA taxes in this payroll? $3,137 X 4. How much has Copperfield and Company contributed to employee 401k plans in this payroll? 62,864.00 $73,800✔ 73,800.00 397,700.00 49,200.00 12,300.00 176.00 1,188.00 73,800.00 In order to confirm the previous clerk's payroll calculations, you have been asked to supply the following amounts based on your review of the payroll entries. These amounts will be checked against the company records and investigated further if necessary. ↓ ↑ ↑ ↑ ↑ ↑ Points: Points: Points: ↓ Points: ↓ 0/1 0/1 0/1 1/1 Short-Term Note Payable Copperfield and Company issued a 90-day, 6.00% note for $200,000 to a creditor on account. The previous clerk entered the following journal entries to record the note on July 10, and the payment of the note at maturity. 1 2 3 4 5 DATE 1 Jul. 10 Accounts Payable Notes Payable 2 3 Notes Payable How does grading work? Accounts Payable Interest Expense DATE DESCRIPTION Oct. 8 Notes Payable Notes Payable Interest Expense JOURNAL DESCRIPTION Journalize the payment of the note at maturity as it should have been journalized. Don't forget to include the date. Assume a 360-day year. POST. REF. JOURNAL ✓ DEBIT 200,000.00 You notice that the journal entry for recording the note on July 10 is correct, but the entry for the payment of the note at maturity (including interest) did not have a date and was not correct. 212,000.00 POST. REF. CREDIT 200,000.00 DEBIT 212,000.00 200,000.00 12,000.00 Score: 24/37 CREDIT Shaded cells have feedback. 200,000.00 12,000.00 ACCOUNTING EQUATION ASSETS LIABILITIES EQUITY Į ↑ ↓ ↑ ASSETS PAGE 25 LIABILITIES ↓ ACCOUNTING EQUATION ↑ ↑ ✓ PAGE 25 EQUITY ↑ LEUT