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Rayya Co. purchases and installs a machine on January 1, 2017, at a total cost of $105,000. Straight-line depreciation is taken each year for four

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Rayya Co. purchases and installs a machine on January 1, 2017, at a total cost of $105,000. Straight-line depreciation is taken each year for four years assuming a seven-year life and no salvage value. The machine is disposed of on July 1 , 2021 , during its fifth year of service. Assume the machine is sold for $45,500 cash on July 13t2021. Prepare the journal entry to dispose of the machine and the journal entry to account for depreciation in year 5 (make sure you depreciate for a partial year). Exam 3 Problem 5 Keesha Co. Borrows $120,000 on November 12017 by signing a 90 -day, 9% note with a face value of $120,000 Prepare journal entries to: 1. Record the note when issued 2. Adjusting entry on 12/31/17 3. Payoff of the note on maturity date The following monthly data are taken from Ramirez Company at July 31: Sales salaries, \$640,000; Oflice salaries, \$128,000; Federal income taxes withheld, $192,000; State income taxes withheid, \$43,000; Social security taxes withheld, \$47,616; Medicare taxes withheld, $11,136; Medical insurance premiums, $15,400; Life insurance premiums, \$12,300; Union dues deducted, \$8,400; and Salaries subject to unemployment taxes, $69,000. The employee pays 40% of medical and life insurance premiums. 1. Prepare the journal entry to record payroll (show Sales and office salaries separately, but you can combine the rest). Hint: employees pay 40% of the medical and insurance premiums 2. Prepare the journal entry to record payroll taxes, Assume that no employee has reached the maximum deduction for social security, and $20,000 of overall salaries are still subject to Federal and State Unemployment taxes at a rate of .6\% and 5.4% respectively. 3. Prepare the journal entry to record Employee Benefits for the company

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