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Journalize the adjusting entries At the end of December (the fiscal year end), Cassel Accounting had the following adjustments. (NOTE: Depreciation expense is only recorded
Journalize the adjusting entries
At the end of December (the fiscal year end), Cassel Accounting had the following adjustments. (NOTE: Depreciation expense is only recorded at year-end; all other adjustments are recorded monthly.) a. The insurance policy was renewed on 11/1/20 for 6 months at a cost of $3,900. $6,400 of the amounts received in advance from clients are still unearned. b. Received a utility bill for December for $680. | Interest has accrued on both of the notes. The $30,000 note was taken out on 7/1/20 and is for 9 months at 6% interest. | Of the $8,200 received from the client on 12/20, $3,200 is still unearned as of 12/31. | Advertising services performed on 12/27 have not yet been billed. The client owes $5,900. $2,350 of supplies were still on hand at 12/31. The equipment is being depreciated over 10 years using the straight-line method with no salvage value. The equipment on the books at 11/30 was purchased on 1/1/19. c | - | Record the salary of $16,000 owed to Mrs. DeWitt for December. She receives her check on the first day of the following month. Her FICA tax rate is also 7.65% and she has 15% for Federal income tax and 8% for State income tax deducted from her check. Record the December wages earned and taxes owed by Sallie since the last pay period. (NOTE: round to whole dollars if necessary.). Record the employer's share of FICA tax on all salaries/wages payable. At the end of December (the fiscal year end), Cassel Accounting had the following adjustments. (NOTE: Depreciation expense is only recorded at year-end; all other adjustments are recorded monthly.) a. The insurance policy was renewed on 11/1/20 for 6 months at a cost of $3,900. $6,400 of the amounts received in advance from clients are still unearned. b. Received a utility bill for December for $680. | Interest has accrued on both of the notes. The $30,000 note was taken out on 7/1/20 and is for 9 months at 6% interest. | Of the $8,200 received from the client on 12/20, $3,200 is still unearned as of 12/31. | Advertising services performed on 12/27 have not yet been billed. The client owes $5,900. $2,350 of supplies were still on hand at 12/31. The equipment is being depreciated over 10 years using the straight-line method with no salvage value. The equipment on the books at 11/30 was purchased on 1/1/19. c | - | Record the salary of $16,000 owed to Mrs. DeWitt for December. She receives her check on the first day of the following month. Her FICA tax rate is also 7.65% and she has 15% for Federal income tax and 8% for State income tax deducted from her check. Record the December wages earned and taxes owed by Sallie since the last pay period. (NOTE: round to whole dollars if necessary.). Record the employer's share of FICA tax on all salaries/wages payableStep by Step Solution
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