6 ints Sandler Company completed the following two transactions. The annual accounting period ends December 31. a. On December 31, calculated the payroll, which indicates gross earnings for wages ($330,000), payroll deductions for income tax ($35,000), payroll deductions for FICA ($27,000), payroll deductions for United Way ($4,700), employer contributions for FICA (matching), and state and federal unemployment taxes ($2,700). Employees were paid in cash, but payments for the corresponding payroll deductions have not been made and employer taxes have not yet been recorded. b. Collected rent revenue of $1,710 on December 10 for office space that Sandler rented to another business. The rent collected was for 30 days from December 11 to January 10 and was credited in full to Deferred Revenue. Required: 1. & 2. Prepare the entries required on December 31 to record payroll, the collection of rent on December 10 and adjusting journal entry on December 31. 3. Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Prepare the entries required on December 31 to record payroll, the coliection of rent on December 10 and adjusting journal entry on December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) No Date General Journal 1 December 31 Salaries and Wages Expense FICA Payable Income Tax Payable Charitable Contributions Payable Cash 9 2 December 31 Payroll Tax Expense FICA Payable State and Federal Unemployment Tax Payable December 10 Cash Deferred Revenue December 31 Deferred Revenue Rant Revenue es question by entering your answers in the tabs below. Req 1 and 2 Re Debit 330,000 Credit 27,000 35,000 ( 4,700 263,300 29,700 27,000 2,700 1,710 1,710 1,160 1,160 Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. (Do not round intermediate calculations.) SANDLER COMPANY Balance Sheet (partial) At December 31 Current Liabilities Income Tax Payable FICA Payable Charitable Contributions Payable State and Federal Unemployment Tax Payable Deferred Revenue Total Current Liabilities S 35,000 54,000 4,700 2,700 550 $ 96.950 Req 1 and 2 Reg 3 PIC COLLAGE

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Sandler Company completed the following two transactions. The annual accounting period ends December 31.
a. On December 31, calculated the payroll, which indicates gross earnings for wages ($330,000), payroll deductions for income tax
($35,000), payroll deductions for FICA ($27,000), payroll deductions for United Way ($4,700), employer contributions for FICA
(matching), and state and federal unemployment taxes ($2,700). Employees were paid in cash, but payments for the corresponding
payroll deductions have not been made and employer taxes have not yet been recorded.
b. Collected rent revenue of $1,710 on December 10 for office space that Sandler rented to another business. The rent collected was
for 30 days from December 11 to January 10 and was credited in full to Deferred Revenue.
Required:
1. & 2. Prepare the entries required on December 31 to record payroll, the collection of rent on December 10 and adjusting journal
entry on December 31.
3. Show how any liabilities related to these items should be reported on the company's balance sheet at December 31.
Answer is complete but not entirely correct.
Complete this question by entering your answers in the tabs below.
Req 1 and 2
Req 3
Prepare the entries required on December 31 to record payroll, the coliection of rent on December 10 and adjusting journal
entry on December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account
field.)
No
Date
General Journal
1
December 31
Salaries and Wages Expense
FICA Payable
Income Tax Payable
Charitable Contributions Payable
Cash
9
2
December 31
Payroll Tax Expense
FICA Payable
State and Federal Unemployment Tax Payable
December 10
Cash
Deferred Revenue
December 31
Deferred Revenue
Rant Revenue
es question by entering your answers in the tabs below.
Req 1 and 2
Re
Debit
330,000
Credit
27,000
35,000 (
4,700
263,300
29,700
27,000
2,700
1,710
1,710
1,160
1,160
Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. (Do not
round intermediate calculations.)
SANDLER COMPANY
Balance Sheet (partial)
At December 31
Current Liabilities
Income Tax Payable
FICA Payable
Charitable Contributions Payable
State and Federal Unemployment Tax Payable
Deferred Revenue
Total Current Liabilities
S
35,000
54,000
4,700
2,700
550
$
96.950
Req 1 and 2
Reg 3
PIC COLLAGE
Transcribed Image Text:6 ints Sandler Company completed the following two transactions. The annual accounting period ends December 31. a. On December 31, calculated the payroll, which indicates gross earnings for wages ($330,000), payroll deductions for income tax ($35,000), payroll deductions for FICA ($27,000), payroll deductions for United Way ($4,700), employer contributions for FICA (matching), and state and federal unemployment taxes ($2,700). Employees were paid in cash, but payments for the corresponding payroll deductions have not been made and employer taxes have not yet been recorded. b. Collected rent revenue of $1,710 on December 10 for office space that Sandler rented to another business. The rent collected was for 30 days from December 11 to January 10 and was credited in full to Deferred Revenue. Required: 1. & 2. Prepare the entries required on December 31 to record payroll, the collection of rent on December 10 and adjusting journal entry on December 31. 3. Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1 and 2 Req 3 Prepare the entries required on December 31 to record payroll, the coliection of rent on December 10 and adjusting journal entry on December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) No Date General Journal 1 December 31 Salaries and Wages Expense FICA Payable Income Tax Payable Charitable Contributions Payable Cash 9 2 December 31 Payroll Tax Expense FICA Payable State and Federal Unemployment Tax Payable December 10 Cash Deferred Revenue December 31 Deferred Revenue Rant Revenue es question by entering your answers in the tabs below. Req 1 and 2 Re Debit 330,000 Credit 27,000 35,000 ( 4,700 263,300 29,700 27,000 2,700 1,710 1,710 1,160 1,160 Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. (Do not round intermediate calculations.) SANDLER COMPANY Balance Sheet (partial) At December 31 Current Liabilities Income Tax Payable FICA Payable Charitable Contributions Payable State and Federal Unemployment Tax Payable Deferred Revenue Total Current Liabilities S 35,000 54,000 4,700 2,700 550 $ 96.950 Req 1 and 2 Reg 3 PIC COLLAGE
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