Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Use the following information for questions 19-22. XYZ's 3 employees earned a total of $2,000 of wages for the week. XYZ deducted $400 for federal

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Use the following information for questions 19-22. XYZ's 3 employees earned a total of $2,000 of wages for the week. XYZ deducted $400 for federal income taxes, $200 for state income taxes $153 for Social Sec and Medicare. The company matches the Social Sec and Medicare tax and pays state unemployment tax of $80 and federal unemployment tax of $20. Calculate the payroll deductions, net pay, and employer taxes for the week and answer the following questions: What would be the amount of Total Employee Deductions/Taxes Payable for the week? $ 753 $ 853 $1606 $1247 What would be the amount of Employer Payroll Taxes? $ 753 $ 853. $1606. $1247 What would be the amount of Net Pay? $ 753. $ 853. $1606. $1247 What is the entry when the payroll is paid? Debit Payroll Liabilities (Fed Income Tax Payable, State Income Tax Payable, Soc Sec&Medicare Payable) Credit Salaries & Wages Expense, Credit Cash Debit Cash, Credit Salaries & Wages Expense Debit Salaries & Wages Expense. Credit Payroll Liabilities(Fed Income Tax Payable, State Income Tax Payable, Soc Sec&Medicare Payable.Credit Cash Debit Employer Payroll Taxes, Credit Employer Payroll Tax Liabilities What journal entry would be recorded if XYZ Co sells notebook computers with a 1 year warranty for $100,000 cash and collects 7% sales tax, Debit Cash $100,000, Credit Revenue $100,000 Debit Cash $107,000, Credit Sales Tax Payable $7,000, Credit Revenue $100,000 Debit Cash $100,000, Credit Sales Tax Payable $7.000, Credit Revenue 593,000 Sales Tax Payable $107,000, Credit Cash $107.000 QUESTION 24 What would be the journal to record the warranty obligation if XYZ estimates that claims submitted for warranties will be about 2% of $100,000 of sales? Debit Cash $100,000, Credit Warranties Payable $100,000 Debit Warranty Expense $2000, Credit Warranties Payable $2000 Debit Warranties Payable $1,000, Credit Cash $1,000 Debit Revenue $2,000, Credit Warranties Payable $2,000

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

Accounting for Governmental and Nonprofit Entities

Authors: Earl R. Wilson, Jacqueline L Reck, Susan C Kattelus

15th Edition

978-0256168723, 77388720, 256168725, 9780077388720, 978-007337960

More Books

Students also viewed these Accounting questions

Question

what tool can I use to create a value tree diagram?

Answered: 1 week ago