Chapter 8 ASSIGNMENT Great Manufacturing Company received and paid a premium notice on January 2 for workers' compensation insurance stating the rates for the new year, Estimated employees' earnings for the year are as follows: Classification Office clerical Warehouse work Manufacturing Classification Office clerical Warehouse work Manufacturing At the end of the year, the exact figures for the payroll are as follows: ctual Wages Rate per Hundred and Salaries (Percent) 0.11 0.92 2.20 Required: Estimated Wages and Salaries $92,000 29,000 264,000 DATE $93,000 30,000 267,000 Rate per Hundred (Percent) 0.11 0.92 2.20 DESCRIPTION Estimated Premium $101.20 266.80 5,808.00 $6,176.00 Exact Premium a. Record the estimated premium entry for the payment on January 2, in general journal form. GENERAL JOURNAL $102.30 276.00 5,874.00 $6,252.30 DOC. NO. POST. REF. DEBIT PAGE CREDIT S

Great Manufacturthe Company recelved and paid a premium notice on January 2 for workers compensatian insurance stating the rates for the new veac fitimated employets eamings for the vear are as follows: 16.175.00 At the end of the vear, the exact figuret for the payroil are at follows: Requiredi I. Antord the entimated premium entry for the puyment on January 2 , in oeneral fournal form. a. Record the estimated preminam entry for the payment on January 2 , in general journal form. Penthes takne Cash out of the bank Remember the normal Dalances and record accoraingly b. Hecbed the adjusung entries on December 21 for the insurance expired and fer the add tionat premium, (Journalue the adjuting entry for the Inaurance first, then the adotisnal premjum. ff required, round vour final answer to the nearest cent. The estimated Worker's Compensation Insurance arnount is based on the yearly Payroll. This is a prepaid insurance which is an asset. We are taking Cash out of the bank. Remember the normal balances and record accordingly. b. Record the adjusting entries on December 31 for the insurance expired and for the additional premium, (Journalize the adjusting entry for the Insurance first, then the additional premium.) If required, round your final answor to the nearest cent