PA$10-3($Algo$)$ Recording and Reporting Current Liabilities $[$LO $10-2]$

Lakeview Company completed the following two transactions. The annual accounting period ends December $31.$

a$.$ On December $31,$ calculated the payroll, which indicates gross earnings for wages $($$$68,000),$ payroll deductions for income tax

$),$ payroll deductions for FICA $($ $$5,100),$ payroll deductions for American Cancer Society $($ $$2,550),$ employer contributions for

FICA $($matching$),$ and state and federal unemployment taxes $($$$595).$ Employees were paid in cash, but payments for the

corresponding payroll deductions have not yet been made and employer taxes have not yet been recorded.

b$.$ Collected rent revenue of $$5,775$ on December $10$ for office space that Lakeview rented to another business. The rent collected was

for $30$ days from December $11$ to January $10$ and was credited in full to Deferred Revenue.

Required:

& $2.$ Prepare the journal entries to record payroll on December $31,$ the collection of rent on December $10$ and adjusting journal entry

on December $31.$

Show how any of the liabilities related to these items should be reported on the company's balance sheet at December $31.$

Complete this question by entering your answers in the tabs below.

Show how any of the liabilities related to these items should be reported on the company's balance sheet at December

$($Do not round intermediate calculations.$)$