Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Requirement 4 and 5 please Rtquirements 1. Record the issuance of the $33,000 note pryable on September 1,2025 . 2. Record the employee payrell and

Requirement 4 and 5 please image text in transcribed
image text in transcribed
Rtquirements 1. Record the issuance of the $33,000 note pryable on September 1,2025 . 2. Record the employee payrell and employer paynol tar entries on September 30,2025 3. Hecord al poyments related to September's payroll Payments are made on October 15,2025. 4. Record the entry to aconve interest dwe on the note at December 31 , hotes 5. Resoru the ensy Oudsor Afvensure Company would make to reosed the pymment to the sank on Septencer 1,2026 Oulsoor Adventure Compary's Astlyn and Zeus Walworth are continuing their analysis of the company's position and bebieve the company will need to borrow $33.000 in order to expand operations. They consut Maty River Bank and secure a 5%, one-year note on September 1,2025 , with interest due at maturity. Additionaly, the compary hires an employee, Jim Valor, on Sepbember 1 . Jim wilf recene a sat of $2.000 per month. Payrol deductions indude federsi income tax at 30%, OASDI at 6.2%, Medicare at 1.45%, and monthy heath insurance prensium of $160. The compary will incur matching FiCA taxes, FUTA tax at 0.8%, and SUTA tax at 5.4. Round calculatons to two decimals. Omit explanations on joumal entrles: Read the peauicements Stat by preparing the compound joumal entry to rocond salanes expense and payrol watholdings on September 30. 2025. Do not tecond the employer payroll tax weh this entry. Wo will do that in the folowing stop Requirements 1. Fecord the issuance of the $33,000 nole payable on September 1, 2005 2. Recond the enployee paytoll and enployer payrol tax entries on September 30, 2025. 3. Recond al payments nelated to September's paynol. Payments are made on October 15,2025 4. Record the entry to accrue interest due on the note at December 31,2025 5. Record the entry Outboor Adventure Company would make to record the payment to the bark on September 1. 2036

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Data Analytics for Accounting

Authors: Vernon Richardson

1st edition

1260375196, 9781260375183 , 978-1260375190

More Books

Students also viewed these Accounting questions