Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Which of the following is true regarding FICA (Social Security and Medicare) taxes? A. FICA taxes are paid only by the employee. B. FICA taxes

image text in transcribed
Which of the following is true regarding FICA (Social Security and Medicare) taxes? A. FICA taxes are paid only by the employee. B. FICA taxes are paid only by the employer. C. FICA taxes are paid in equal amounts by the employee and the employer. D. FICA taxes are paid in different amounts by the employee and the employer. Which of the following is not an employer payroll cost? A. FICA taxes. B. Federal and state unemployment taxes. C. Federal and state income taxes. D. Employer contributions to a retirement plan. In December, 2015 T.J.'s Printing received magazine subscriptions for 2016 from a customer, who paid $500 in cash. What would be the appropriate journal entry for this event? A. Debit Cash, $500: credit Subscription Revenue, $500. B. Debit Cash, $500: credit Unearned Revenue, $500. C. Debit Subscription Revenue, $200, credit Cash, $200. D. No journal entry is necessary. When a company issues 25,000 shares of $1 par value common stock for $10 per share, the journal entry for this issuance would include: A. A debit to Cash for $25,000 B. A debit to Additional Paid-in Capital for $25,000. C. A credit to Common Stock for $250,000. D. A credit to Additional Paid-in Capital for $225,000. Preferred stock is called preferred because it usually has two preferences over common stock. These preferences relate to: A. Dividends and voting rights. B. Par value and dividends C. The preemptive right and voting rights. D. Dividends and distribution of assets if the corporation is dissolved. On February 22, Brett Corporation reacquired 200 shares of its $5 par value common stock for $25 each. On March 15, the company reissued 70 shares for $30 each. What is true of the journal entry for reissuing their shares? A. Credit Cash $1, 750 B. Credit Additional Paid in Capital $350. C. Debit Treasury Stock $1, 750. D. Credit Treasury Stock $2, 100

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

Financial And Managerial Accounting For School Administrators Tools For School

Authors: Ronald E. Everett, Donald R. Johnson, Bernard W. Madden

1st Edition

1578865816, 978-1578865819

More Books

Students also viewed these Accounting questions