Question
Goblin's Goodies pays employees weekly on Fridays. However, the company notices that August 31 is a Thursday, and a pay period will end on September
Goblin's Goodies pays employees weekly on Fridays. However, the company notices that August 31 is a Thursday, and a pay period will end on September 1. The payroll data for August 31-September 1 is as follows: Gross pay: $4,500 Federal income tax: $520 Social Security tax: $279 Medicare tax: $65.25 state income tax: $90 Give the adjusting entry in General Journal to recognize the employee and employer share of the payroll for the week of August31. Date the entry August 31. Then give the journal entry to reverse the adjustment on September 1, 2018.
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