Wade Industries reported the following information in its accounting records on December 31, 2018: Gross salaries...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Wade Industries reported the following information in its accounting records on December 31, 2018: Gross salaries earned by employees (12/29-12/31): $ Income taxes withheld from employees (12/29-12/31): FICA taxes withheld from employees (12/29-12/31): Net cash paid to employees on December 31st:$ 7,200 1,100 420 5,680 The employees were paid $5,680 on December 31st, 2018, but the withholdings have not yet been remitted to the government, nor have the matching employer FICA contributions. Required a) Compute the total payroll costs to the employer relating to the pay period from December 29-31st, 2018. Assume total unemployment taxes owed by the employer were $560. Net Cash Paid to Employees Income Taxes Withheld from Employees FICA Taxes Withheld from Employees Total Cost of Salaries & Wages Employer Matching FICA Employer Unemployment Taxes Total Cost to Employer (Wages & Taxes) b) Record the employers journal entry to account for the salaries and wages due as of December 31, 2018. Date Account Description Debit Credit 12/31/18 c) Record the employers journal entry to account for the matching payroll taxes due as of December 31, 2018. Date Account Description Debit Credit 12/31/18 d) On January 5, 2019, the employer remitted (paid) all payroll tax withholdings to the appropriate government agency. Record the necessary journal entry. Debit Credit Date Account Description 1/5/19 Wade Industries reported the following information in its accounting records on December 31, 2018: Gross salaries earned by employees (12/29-12/31): $ Income taxes withheld from employees (12/29-12/31): FICA taxes withheld from employees (12/29-12/31): Net cash paid to employees on December 31st:$ 7,200 1,100 420 5,680 The employees were paid $5,680 on December 31st, 2018, but the withholdings have not yet been remitted to the government, nor have the matching employer FICA contributions. Required a) Compute the total payroll costs to the employer relating to the pay period from December 29-31st, 2018. Assume total unemployment taxes owed by the employer were $560. Net Cash Paid to Employees Income Taxes Withheld from Employees FICA Taxes Withheld from Employees Total Cost of Salaries & Wages Employer Matching FICA Employer Unemployment Taxes Total Cost to Employer (Wages & Taxes) b) Record the employers journal entry to account for the salaries and wages due as of December 31, 2018. Date Account Description Debit Credit 12/31/18 c) Record the employers journal entry to account for the matching payroll taxes due as of December 31, 2018. Date Account Description Debit Credit 12/31/18 d) On January 5, 2019, the employer remitted (paid) all payroll tax withholdings to the appropriate government agency. Record the necessary journal entry. Debit Credit Date Account Description 1/5/19
Expert Answer:
Answer rating: 100% (QA)
a Net cash paid to employees 5680 Income taxes withheld from employees 1100 FICA ... View the full answer
Posted Date:
Students also viewed these accounting questions
-
A company showed the following information in its payroll register for the week ended March 16, 2015: 1. Prepare a general journal entry to record the payroll register information. 2. Prepare a...
-
A company showed the following information in its payroll register for the week ended March 16, 2015: 1. Prepare a general journal entry to record the payroll register information. 2. Prepare a...
-
The profits and losses for the last years are: 2001-02 Losses Rs. 10,000; 2002-03 Losses Rs. 2,500; 2003-04 Profits Rs. 98,000 and 2004-05 Profits Rs. 76,000. The average capital employed in the...
-
In the game of roulette, a gambler who wins the bet receives $36 for every dollar she or he bet. A gambler who does not win receives nothing. If the gambler bets $1, what is the expected value of the...
-
How do hidden information problems affect the costs of corporate restructuring? Might the tax benefits of such restructurings be sacrificed by corporations because of these problems?
-
In addition to analyzing the relationship between the managers characteristic and the performance of the fund, researchers wanted to determine whether the same characteristics are related to the...
-
What are the differences between extend and include use cases?
-
Who has the final responsibility for the integrity of an SEC registrants internal controls: its audit committee, its management team, or its independent auditors? Explain.
-
S Tiger Trade has the following cash transactions for the period. Accounts Cash received from sale of products to customers Cash received from the Bank for long-term loan Cash paid to purchase...
-
You are valuing Melissa Corporation. You have discounted the future free cash flows back to the present at an appropriate discount rate and get a present value of $140,000,000. When reviewing the...
-
Given a SOG that measures 48 feet X 125 feet X 7 inches thick. How much would you bid to place and finish this SOG. Please use the following information to do this estimate. Formed on all four sides...
-
Between 1929 and 1933, output fell ______. a) by about one-tenth b) by about one-third c) by about one-half d) by about two-thirds
-
Which of the problems in the construction of the CPI might be illustrated by each of the following situations? Explain. a. the invention of cell phones b. the introduction of air bags in cars c....
-
The production possibilities curve represents ________. a) our economy at full employment but not full production b) our economy at full production but not full employment c) our economy at full...
-
What other theories have you learned about in this class that could be applied to crisis contexts?
-
At the time of the American Revolution, about of ______ every 10 Americans lived on a farm. a) 1 c) 5 e) 9 b) 3 d) 7
-
Which of the following categories were included in an annual FBI/CSI Computer Crime report, as the culprit for the majority of crimes committed against information systems? A. Foreign governments B....
-
Tell whether the angles or sides are corresponding angles, corresponding sides, or neither. AC and JK
-
In the second quarter of 2021, personal consumption expenditures, exports, and imports increased. Investment and government expenditure decreased. Real GDP increased by 6.5 percent following a 6.3...
-
When real GDP increased in the second quarter of 2021, consumption expenditure, exports, and imports increased. Fixed investment decreased, which included a decrease in business inventory investment....
-
Are U.S. exports part of U.S. induced expenditure or autonomous expenditure? Are U.S. imports part of U.S. induced expenditure or autonomous expenditure? U.S. imports are recovering thanks to the $2...
Study smarter with the SolutionInn App