The following information about the payroll for the week ended December 30 was obtained from the records of Boltz Co.:Required:1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries (refer to the Chart of Accounts for exact wording of account titles):a. December 30, to record the payroll.b. December 30, to record the employer’s payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the year, $44,000 is subject to unemployment compensation taxes.2. Assuming that the payroll for the last week of the year is to be paid on January 5 of the following fiscal year, journalize the following entries (refer to the Chart of Accounts for exact wording of account titles):a. On page 11 of the journal: December 30, to record the payroll.b. On page 12 of the journal: January 5, to record the employer's payroll taxes on the payroll to be paid on January 5. Since it is a new fiscal year, all $652,000 in salaries is subject to unemployment compensation taxes.1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries (refer to the Chart of Accounts for exact wording of account titles):a. December 30, to record the payroll.b. December 30, to record the employer's payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the year, $44,000 is subject to unemployment compensation taxes. InstructionsChart of AccountsThe following information about the payroll for the week ended December 30 was obtained from the records of Boltz Co.:CHART OF ACCOUNTSBoltz Co.Salaries:Deductions:General LedgerSales salaries$325,000 Income tax withheld $119,000Warehouse salaries 196,000 U.S. savings bonds14,344ASSETSREVENUEOffice salaries131,000 Group insurance11,736110 Cash410 Sales$652,000111 Accounts Receivable610 Interest Revenue112 Interest Receivable113 Notes ReceivableEXPENSESTax rates assumed:115 Inventory510 Cost of Goods SoldSocial security 6%State unemployment (employer only) 5.4%116 Supplies520 Sales Salaries ExpenseMedicare1.5% Federal unemployment (employer only) 0.8%118 Prepaid Insurance521 Warehouse Salaries Expense120 Land522 Office Salaries ExpenseRequired:123 Building524 Depreciation Expense-Building1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries (refer to the Chart of124 Accumulated Depreciation-Building525 Delivery ExpenseAccounts for exact wording of account titles):125 Office Equipment526 Repairs Expensea. December 30, to record the payroll.126 Accumulated Depreciation-Office Equipment529 Selling Expensesb. December 30, to record the employer's payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the531 Rent Expenseyear, $44,000 is subject to unemployment compensation taxes.LIABILITIES532 Depreciation Expense-Office Equipment2. Assuming that the payroll for the last week of the year is to be paid on January 5 of the following fiscal year, journalize the following entries210 Accounts Payable533 Insurance Expense(refer to the Chart of Accounts for exact wording of account titles):213 Interest Payable534 Supplies Expensea. On page 11 of the journal: December 30, to record the payroll.214 Notes Payable535 Payroll Tax Expenseb. On page 12 of the journal: January 5, to record the employer's payroll taxes on the payroll to be paid on January 5. Since it is a new fiscal215 Salaries Payable536 Vacation Pay Expenseyear, all $652,000 in salaries is subject to unemployment compensation taxes.216 Social Security Tax Payable537 Pension Expense217 Medicare Tax Payable538 Cash Short and OverJournal218 Employees Income Tax Payable540 Miscellaneous Expense220 Group Insurance Payable710 Interest ExpenseScroll down to access additional pages of the journal.221 U.S. Saving Bond Deductions Payable222 Union Dues Payable1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries (refer to the Chart of223 Retirement Savings Deductions PayableAccounts for exact wording of account titles):224 Federal Unemployment Tax Payablea. December 30, to record the payroll.225 State Unemployment Tax Payableb. December 30, to record the employer's payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the226 Vacation Pay Payableyear, $44,000 is subject to unemployment compensation taxes.227 Unfunded Pension LiabilityEQUITY310 Common Stock311 Retained Earnings312 Dividends

Payroll refers to the payment to be made by the employer to the employees for the services rendered…

The following information about the payroll for the week ended December 30 was obtained from the records of Boltz Co.: Required: 1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries (refer to the Chart of Accounts for exact wording of account titles): a. December 30, to record the payroll. b. December 30, to record the employer’s payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the year, $44,000 is subject to unemployment compensation taxes. 2. Assuming that the payroll for the last week of the year is to be paid on January 5 of the following fiscal year, journalize the following entries (refer to the Chart of Accounts for exact wording of account titles): a. On page 11 of the journal: December 30, to record the payroll. b. On page 12 of the journal: January 5, to record the employer's payroll taxes on the payroll to be paid on January 5. Since it is a new fiscal year, all $652,000 in salaries is subject to unemployment compensation taxes. 1. Assuming that the payroll for the last week of the year is to be paid on December 31, journalize the following entries (refer to the Chart of Accounts for exact wording of account titles): a. December 30, to record the payroll. b. December 30, to record the employer's payroll taxes on the payroll to be paid on December 31. Of the total payroll for the last week of the year, $44,000 is subject to unemployment compensation taxes.

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter8: Liabilities And Stockholders' Equity

Section: Chapter Questions

Problem 8.2.3P: Recording payroll and payroll taxes The following information about the payroll for the week ended...