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Pillar has an annual payroll of $135,000. In addition, the company incurs payroll tax expense of 8% of the annual payroll. At December 31, Pillar owes salaries of $9,500 and FICA and other payroll tax of $700. The company will pay these amounts early next year. Requirement 1. Show what Pillar will report for the foregoing on its income statement for the year and on its year-end balance sheet (If an input field is not used in the table leave the field empty, do not select a label or enter a zero.) Start with the income statement Income Statement Account Amount 27

Pillar has an annual payroll of $135,000. In addition, the company incurs payroll tax expense of 8% of the annual payroll. At December 31, Pillar owes salaries of $9,500 and FICA and other payroll tax of $700. The company will pay these amounts early next year. Requirement 1. Show what Pillar will report for the foregoing on its income statement for the year and on its year-end balance sheet (If an input field is not used in the table leave the field empty, do not select a label or enter a zero.) Start with the income statement Income Statement Account Amount 27

College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter8: Employer Taxes, Payments, And Reports
Section: Chapter Questions
Problem 4E
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Pillar has an annual payroll of $135,000. In addition, the company incurs payroll tax expense of 8% of the annual payroll. At December 31, Pillar owes salaries of $9,500 and FICA and other payroll tax of $700. The company will pay these amounts early next year. Requirement 1. Show what Pillar will report for the foregoing on its income statement for the year and on its year-end balance sheet. (If an input field is not used in the table leave the field empty, do not select a label or enter a zero.) Start with the income statement Income Statement Account Amount 27 (15
Transcribed Image Text:Pillar has an annual payroll of $135,000. In addition, the company incurs payroll tax expense of 8% of the annual payroll. At December 31, Pillar owes salaries of $9,500 and FICA and other payroll tax of $700. The company will pay these amounts early next year. Requirement 1. Show what Pillar will report for the foregoing on its income statement for the year and on its year-end balance sheet. (If an input field is not used in the table leave the field empty, do not select a label or enter a zero.) Start with the income statement Income Statement Account Amount 27 (15
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