premiums. LO 11-8 The following information relates to Ponte Manufacturing Company's workers' compensation insurance premiums for 20X1. On January 15, 20X1, the company estimated its premium for workers' compensation insurance for the year on the basis of that data. Amount of Look Work Estimated Insurance Classification Rates rint Wages Office work $ 64,000 Shop work $0.30/$100 308,000 $6.00/$100 rences Required: 1. Compute the estimated premiums. 2. Record in general journal form payment of the estimated premium on January 15, 20X1. 3. On January 4, 20X2, an audit of the firm's payroll records showed that it had actually paid wages of $69,960 to its office employees and wages of $315,320 to its shop employees. Compute the actual premium for the year and the balance due the insurance company or the credit due the firm. 4. Prepare the general journal entry on December 31, 20X1, to adjust the Workers' Compensation Insurance Expense account. Analyze: If all wages were attributable to shop employees, what premium estimate would have been calculated and recorded on January 15, 20X1? < Prev 2 of 2 Next > = aw 11

premiums. LO 11-8 The following information relates to Ponte Manufacturing Company's workers' compensation insurance premiums for 20X1. On January 15, 20X1, the company estimated its premium for workers' compensation insurance for the year on the basis of that data. Amount of Look Work Estimated Insurance Classification Rates rint Wages Office work $ 64,000 Shop work $0.30/$100 308,000 $6.00/$100 rences Required: 1. Compute the estimated premiums. 2. Record in general journal form payment of the estimated premium on January 15, 20X1. 3. On January 4, 20X2, an audit of the firm's payroll records showed that it had actually paid wages of $69,960 to its office employees and wages of $315,320 to its shop employees. Compute the actual premium for the year and the balance due the insurance company or the credit due the firm. 4. Prepare the general journal entry on December 31, 20X1, to adjust the Workers' Compensation Insurance Expense account. Analyze: If all wages were attributable to shop employees, what premium estimate would have been calculated and recorded on January 15, 20X1? < Prev 2 of 2 Next > = aw 11

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Take me to the text An employer has calculated the following amounts for an employee during the last week of June 2021. Gross Wages $1,800.00 Income Taxes $414.00 Canada Pension Plan $94.00 Employment Insurance $28.00 Workers' Compensation $59.00 Do not enter dollar signs or commas in the input boxes. Round your answer to 2 decimal places. Required a) Calculate the employee's net pay. Net Pay = $ b) Assuming the employer's contribution is 100% for CPP and 140% for El, what is the employer's total expense? Total Employer Expense = $ c) Prepare the journal entries to record payroll for the employee and record the employer's contribution. Assume the e was paid immediately. For transactions with more than one credit, enter the credit accounts in alphabetical order.
Regling Company provides its employees vacation benefits and a defined benefit pension plan. Employees earned vacation pay of $20,000 for the period. The pension formula determined a pension cost of $232,000. Only $13,920 was contributed to the pension plan administrator. Question Content Area a. Journalize the entry to record the vacation pay. If an amount box does not require an entry, leave it blank. blank Account Debit Credit blank Feedback Area Feedback Question Content Area b. Journalize the entry to record the pension benefit. If an amount box does not require an entry, leave it blank. blank Account Debit Credit blank
Bounce Back Insurance Company carries three major lines of insurance: auto, workers' compensation, and homeowners. The company has prepared the following report: Bounce Back Insurance CompanyProduct Profitability ReportFor the Year Ended December 31 Auto Workers' Compensation Homeowners Premium revenue $5,800,000 $6,250,000 $8,200,000 Estimated claims (4,060,000) (4,375,000) (5,740,000) Underwriting income $1,740,000 $1,875,000 $2,460,000 Underwriting income as a percent of premium revenue 30% 30% 30% Management is concerned that the administrative expenses may make some of the insurance lines unprofitable. However, the administrative expenses have not been allocated to the insurance lines. The controller has suggested that the administrative expenses could be assigned to the insurance lines using activity-based costing. The administrative expenses are comprised of five activities. The activities and their rates are as follows: Activity Activity…
Market wages Home production Expenses (net of added income) Debt/funeral costs Spouse A $1,090,655 $870,655 $1,044,786 $348,262 O $428,957.20 80,000/year 12,000/year 50,000/year 220,000 Spouse B 20,000/year 40,000/year 50,000/year 220,000 How much life insurance should be purchased for Spouse B if using the expense approach, assuming 25 years and 3% rate? Please select the number closest to your answer
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The following information about the payroll for the week ended December 30 was obtained from the records of Boltz Co.: Salaries: Deductions: Sales salaries $350,000 Income tax withheld $117,000 Warehouse salaries 182,000 U.S. savings bonds 14,696 Office salaries 136,000 Group insurance 12,024 $668,000 Tax rates assumed: Social security 6% State unemployment (employer only) 5.4% Medicare 1.5% Federal unemployment (employer only) 0.8% Required:
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Use the combined wage bracket tables, Exhibit 9-3 and Exhibit 9-4, to solve. Employee MaritalStatus WithholdingAllowances Pay Period GrossEarnings CombinedWithholding Reese, S. M 4 Weekly $1,211 $
Employee Net Pay Kenneth Inverness's weekly gross earnings for the week ended April 22 were $1,000, and his federal income tax withholding was $180. Assuming the social security rate is 6% and Medicare is 1.5%, what is Kenneth's net pay? Note: If required, round your answer to two decimal places. All work saved.
2. Calculate the EI and CPP for the following employees. Find the employer portion as well. a. Biweekly salary of 2000 b. Weekly salary of 1100
E11-2B. Fromn the following information, prepare a general journal entry to record the emnployee benefits expense of Windsor Company for the monthly payroll for April. Deductions Employee Bert Lamont Total Salary Tax Net Pay 2,042 1,890 1,477 1,621 CPP EI 2,600 2,400 1,800 2,000 Joan Quan Mark Totem 395 361 114 104 75 49 45 214 34 Jean Dzurko 256 85 38 E11-3B. What amount will the Windsor Company send to the CRA in the month of May (for the April payroll)? See exercise E11-2B above.
Q1: According to the December payroll register ABC Co.'s working hours for each cost center are as follows: Working Days 22 days 22 days 22 days 22 days Department Number of Normal Overtime Idle Working Hour Working Hour 1.100 h. Workers Time Knitting (Main Pro. Center) Coloring (Main Pro. Center) Generator(Service Pro. Center) Infirmary (Service Pro. Center) 25 4.400 h. 200 h. 15 2.640 h. 3.300h. 5 880 h. 10 1.760 h. 100 h. ABC Co.'s normal working hours is 8 hours in a day and normal rate is 10 TL/hour. Overtime rate is 12 TL/hour. Employer's Share of Social Security Premium is TL 3.872 TL. The workers were idle due to power failure. Required: Determine the direct and indirect labor cost of each cost center.