In the Continuing Payroll Problem A, presented at the end of succeeding chapters, you will gain experience in computing wages and salaries and preparing a payroll register for Kipley Company, Inc., a newly formed corporation. At the end of subsequent cirapters, information will be presented so that the payroll register can be completed step by step as you proceed through the discussion material relating to that particular section of the payroll register. Kipley Company is a small manufacturing firm located in Pittsburgh, Pennsylvania. The company has a workforce of both hourly and salaried employees. Each employee is paid for hours actually worked during each week, with the time worked being recorded in quarter-hour increments. The standard workweek consists of 40 hours, with all employees being paid time and one-half for any hours worked beyond the 40 regular hours. Wages are paid every Friday, with one week's pay being held back by the company. Thus, the first payday for Kipley Company is January 14 for the workweek ending January 8 (Saturday) The information below will be used in preparing the payroll for the pay period ending January 8, 20-. Time Card No. 11 12 13 21 22 31 32 33 51 Employee Name Fran M. Carson William A. Wilson Harry T. Utley Lawrence R. Fife Lucy K. Smith Gretchen R. Fay Glenda B. Robey Thomas K. Schork Barbara T. Hardy Hourly Wage or Salary $ 17,50 per hour 17.25 per hour 18.10 per hour 17.90 per hour 19.75 per hour 515 per week 2,700 per month 3,350 per month 2,510 per month 51 99 Barbara T. Hardy 2,510 per month Carson C. Kipley 52,000 per year Ms. Glenda I Robey prepares the time clerk's report for each pay period. Her report for the first week of operations is given below. TIME CLERK'S REPORT NO.1 For Period Ending January 8, 20 Employee Time Worked Time Lost S 8 WNN INNWN 11 12 13 21 22 31 32 Time Record MTWT 8 8 8 8 8 8 563 8 10 10 10 8 9 8 Fran M. Carson William A. Wilson Harry T. Utley Lawrence R. Fico Lucy K. Smith Gretchen R. Fay Glenda B. Robey Thomas K. Schork Barbara T. Hardy Carson C. Xipley |2% hru tardy 0 0 0 0 0 0 0 Yo 42 37% 46 40 4144 Ho wo OOO DOO 124 33 51 99 3 40 *All employees, except for Carson Kipley, are paid for hours worked beyond 40 at one and one-half times their regular hourly rate of pay, Using the payroll register for Kipley Company, which is reproduced on a fold-out at the back of the book (PR-1), proceed as follows: Using the payroll register for Kipley Company, which is reproduced on a fold-out at the back of the book (PR-1), proceed as follows: 1. Enter each employee's time card number and name in the appropriate columns. 2. Record the regular hours and the overtime hours worked for each employee, using the time clerk's report as your reference 3. Complete the Regular Earnings columns (Rate per Hour and Amount) and the Overtime Earnings columns (Rate per Hour and Amount) for each hourly employee. For salaried workers, complete the Regular Earnings column and show the hourly overtime rate and earnings only if overtime was worked. Record the Total Earnings for each employee by adding the Regular Earings and the Overtime Earnings Note: Retain your partially completed payroll register for use at the end of Chapter 3
