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Zolnick Enterprises has two hourly employees-Kelly and Jon. Both employees earn overtime at the rate of 1.5 times the hourly rate for hours worked in

image text in transcribedimage text in transcribedimage text in transcribed Zolnick Enterprises has two hourly employees-Kelly and Jon. Both employees earn overtime at the rate of 1.5 times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $110,000 of wages, and the Medicare tax rate is 1.5 percent on all earnings. Federal income tax withheld for Kelly and Jon was $270 and $223, respectively, for the first week of January. The following information is for the first week in January Year 1. Required a. Calculate the gross pay for each employee for the week. b. Calculate the net pay for each employee for the week. c. Prepare the general journal entry to record payment of the wages. Complete this question by entering your answers in the tabs below. Calculate the gross pay for each employee for the week. Calculate the net pay for each employee for the week. (Round intermediate calculations and your final answers to 2 decimal places.) Zolnick Enterprises has two hourly employees-Kelly and Jon. Both employees earn overtime at the rate of 1.5 times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $110,000 of wages, and the Medicare tax rate is 1.5 percent on all earnings. Federal income tax withheld for Kelly and Jon was $270 and $223, respectively, for the first week of January. The following information is for the first week in January Year 1. Required a. Calculate the gross pay for each employee for the week. b. Calculate the net pay for each employee for the week. c. Prepare the general joumal entry to record payment of the wages. Complete this question by entering your answers in the tabs below. Prepare the general journal entry to record payment of the wages. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your intermediate calculations and final answers to 2 decimal places.) Journal entry worksheet Note: Enter debits before credits. Requlred Information Exercise 9.8A (Algo) Current liabilities LO 9.1, 9.2, 9.4 [The following information applies to the questions displayed below.] The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $48,000 from the issue of common stock. 2. Purchased merchandise inventory of $174,500 on account. 3. Sold merchandise for $195,500 cash (not including sales tax). Sales tax of 6 percent is collected when the merchandise is sold. The merchandise had a cost of $120,500. 4. Provided a six-month warranty on the merchandise sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Paid the sales tax to the state agency on $145,500 of the sales. 6. On September 1, Year 1, borrowed $20,500 from the local bank. The note had a 5 percent interest rate and matured on March 1, Year 2. 7. Paid $5,500 for warranty repairs during the year. 8. Paid operating expenses of $53,500 for the year. 9. Paid $124,800 of accounts payable. 10. Recorded accrued interest on the note issued in transaction number 6 . Exerclse 9-8A (Algo) Part d d. What is the total amount of current liabilities at December 31, Year 1? (Round your Intermedlete colculetlon to the nearest dollor.)

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