Spring 2020 Acct 2301 Midterm 2 Q1) Construct the bank reconciliation for Bill's Tutoring, as of October 31, from the following information: Ending checkbook balante Ending bank statement balance Deposits in transit Outstanding checks Bank service charge (debit memo) $940 540 640 280 40 Q2) Prepare the required journal entries from the bank reconciliation below as of the end of June: The balance per general ledger is $200. There is a debit memo for interest expense, $150. There is a debit memo for a customer's NSF check $240. Outstanding checks amount to $2,000. This month's service charge amounts to $50. Deposits in transit amount to $1,500. WPS Q4) An employee cams $16 per hour. He worked 45 hours the last week of January (assuming time and a half for overtime). Calculate the total amount of employee deductions. The business is involved in interstate commerce. Federal Income Tax rate - 20% State Income Tax rate -5% FICA rate OASDI -62% and Medicare - 1.45% FUTA rate -.8% SUTA rate - 5.6% 1 Q5) Compute the net pay for each employee. The FICA tax rate is: OASDI 6.2% on a limit of $128,400; Medicare is 1.45%; federal income tax is 15%; state income tax is 5%; and medical insurance is $100 per employee Sally Ahti Mike DeForel Cumulative Pay $68,000 $80,000 This Week's Pay $2,900 $2,500 Q3) Prepare journal entries for the following petty cash fund transactions: Nov. 1 Established a $75 petty cash fund. 15 Increased the petty cash fund to have a new balance of $200. 30 Replenished the petty cash fund. Currency and coins remaining were $30. Approved paid vouchers were: $10 donation expense: $16 postage expense; $30 office supplies expense; and $20 misc. expense. (6) From the following data, determine the FUTA tax liability for Sims Company for the first quarter. The FUTA tax rate is 0.6% on the first $7,000 of eamings. (Assume all quarters have 13 weeks.) Gross Pay per Week 1500 Emplovees C. Smith K. James E. Simpson 800 1200 Q7) Using the information provided below, prepare a foumal entry to record the payroll tax expense for Mr. B's Carpentry Emplovee Gross Pay Cumulative Eamings Prior to this Payroll V. Vaughn C. Jefferson B. Hogan $1,600 1200 1400 $44,000 7000 120000 Assume FICA tax rates are: OASDI 6.2% on a limit of $128,400 and Medicare 1.45%. State unemployment tax rate is 2% on the first $7,000. Federal unemployment tax rate is 0.8% on the first $7.000. Q8) Sweeney's Recording Studio payroll records show the following information: Cumulative Earnings Before Payroll Weekly Salary D. Gordon $20,000 $20,000 1,100 Assume the following: a) FICA: OASDI, 6.2% on a limit of $128,400; Medicare, 1.45%. b) Each emplovee contributes $40 per week for union dues. c) State income tax is 5% of gross pay. d) Federal income tax is 20% of gross pay. Prepare a general joumal payroll entry for the payment of the above weekly salary only. Q9) What is the joumal entry to record the payment of taxes withheld from employees and FICA taxes? Q10) S. Paul, an emplovee of Plum Hollow Country Club, eamed $1,100 during the first week of January His withholding included federal income tax, 15%; state income tax, 5%; FICA-OASDI, 6.2%, FICA- Medicare, 1.45%; and union dues $25. Determine the tax for OASDI, Medicare, Federal Income Tax, and State Income Tax. Spring 2020 Acct 2301 Midterm 2 Q1) Construct the bank reconciliation for Bill's Tutoring, as of October 31, from the following information: Ending checkbook balante Ending bank statement balance Deposits in transit Outstanding checks Bank service charge (debit memo) $940 540 640 280 40 Q2) Prepare the required journal entries from the bank reconciliation below as of the end of June: The balance per general ledger is $200. There is a debit memo for interest expense, $150. There is a debit memo for a customer's NSF check $240. Outstanding checks amount to $2,000. This month's service charge amounts to $50. Deposits in transit amount to $1,500. WPS Q4) An employee cams $16 per hour. He worked 45 hours the last week of January (assuming time and a half for overtime). Calculate the total amount of employee deductions. The business is involved in interstate commerce. Federal Income Tax rate - 20% State Income Tax rate -5% FICA rate OASDI -62% and Medicare - 1.45% FUTA rate -.8% SUTA rate - 5.6% 1 Q5) Compute the net pay for each employee. The FICA tax rate is: OASDI 6.2% on a limit of $128,400; Medicare is 1.45%; federal income tax is 15%; state income tax is 5%; and medical insurance is $100 per employee Sally Ahti Mike DeForel Cumulative Pay $68,000 $80,000 This Week's Pay $2,900 $2,500 Q3) Prepare journal entries for the following petty cash fund transactions: Nov. 1 Established a $75 petty cash fund. 15 Increased the petty cash fund to have a new balance of $200. 30 Replenished the petty cash fund. Currency and coins remaining were $30. Approved paid vouchers were: $10 donation expense: $16 postage expense; $30 office supplies expense; and $20 misc. expense. (6) From the following data, determine the FUTA tax liability for Sims Company for the first quarter. The FUTA tax rate is 0.6% on the first $7,000 of eamings. (Assume all quarters have 13 weeks.) Gross Pay per Week 1500 Emplovees C. Smith K. James E. Simpson 800 1200 Q7) Using the information provided below, prepare a foumal entry to record the payroll tax expense for Mr. B's Carpentry Emplovee Gross Pay Cumulative Eamings Prior to this Payroll V. Vaughn C. Jefferson B. Hogan $1,600 1200 1400 $44,000 7000 120000 Assume FICA tax rates are: OASDI 6.2% on a limit of $128,400 and Medicare 1.45%. State unemployment tax rate is 2% on the first $7,000. Federal unemployment tax rate is 0.8% on the first $7.000. Q8) Sweeney's Recording Studio payroll records show the following information: Cumulative Earnings Before Payroll Weekly Salary D. Gordon $20,000 $20,000 1,100 Assume the following: a) FICA: OASDI, 6.2% on a limit of $128,400; Medicare, 1.45%. b) Each emplovee contributes $40 per week for union dues. c) State income tax is 5% of gross pay. d) Federal income tax is 20% of gross pay. Prepare a general joumal payroll entry for the payment of the above weekly salary only. Q9) What is the joumal entry to record the payment of taxes withheld from employees and FICA taxes? Q10) S. Paul, an emplovee of Plum Hollow Country Club, eamed $1,100 during the first week of January His withholding included federal income tax, 15%; state income tax, 5%; FICA-OASDI, 6.2%, FICA- Medicare, 1.45%; and union dues $25. Determine the tax for OASDI, Medicare, Federal Income Tax, and State Income Tax