Question
On December 31, 2000, Company ABC pays employees $100,000 for wages earned during 2000. Federal Income tax withholds 20% of wages and FICA withholds 1%
On December 31, 2000, Company ABC pays employees $100,000 for wages earned during 2000. Federal Income tax withholds 20% of wages and FICA withholds 1% of wages. on January 15th, 2001, Company ABC pays authorities for the related taxes.
What is the journal entry on December 31st?
What is the journal entry for January 15th?
On June 29, 2000, Company ABC borrowed $300,000 by signing a one-year note (principal and interest will be paid at maturity which is June 28th, 2001). The note has an interest rate of 5%.
What is the journal entry for June 29th?
What is the journal entry for June 28, 2001?
Later that year on November 18th, 2000, Company ABC received a cash payment of $50,000 for services to be performed in January of 2001.
What is the journal entry for November 18th?
On January 20th, Company ABC performed said services. (said services was $60,000)
Write a journal entry for January 20th.
Please provide work and calculations if possible, thank you
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