3. Many customers have been asking for more allergy-friendly products, so in December the bakerystarted carrying a line of gluten-free products on a trial basis. The information below relates to theUse the perpetual inventory method with the FIFO valuation method. Please see the "Inventorysnhu2. The following events occurred in November:November 5: Paid employee for period ending October 31.November 10: Paid Octobertelephone bill.15. (See Wage Calculation Data table at the end of this document.)November 15: Paid rent on bakery space.November 20: Paid $8,500 toward baking supplies vendor payable.November 20: Paid employee for period ending November 15.November 22: Purchased $300 in office supplies.November 30: Received telephone bill for November in amount of $75. Payment is due onDecember 10.November 30: Accrued wages earned for employee for period of November 16 through November30. (See Wage Calculation Data table at the end of this document.)November 30: November bakery sales total was $20,000 (Ş7,500 of this total on accountsreceivable).purchase and sales of the new products.Valuation" tab in your workbook for purchase and sales informationThe following events occurred in December:December 1: Paid dividends to self in amount of $10,000. Valuation" tab in your workbook for purchase and sales information.purchase and sales of the new products.The following events occurred in December:December 1: Paid dividends to self in amountof $10,000.December 5: Paid employee for period ending November 30.

Answered: ollowing events occurred in November:…

Business

Accounting

ollowing events occurred in November: mber 5: Paid employee for period ending October 31.

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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In 20-- the annual salaries paid each of the officers of Abrew, Inc., follow. The officers are paid semimonthly on the 15th and the last day of the month. Compute the FICA taxes to be withheld from each officer’s pay on (a) November 15 and (b) December 31.
Records has five employees who are paid on the 1st and 15th of each month for the work they performed in the preceding half-month. At September 30, each employee is owed gross pay of $2,500, but each one must have 10% of their pay withheld for income taxes. Each must also make Canada Pension Plan contributions of 5.1% of their gross pay and pay Employment Insurance premiums of 1.62% of their gross pay. Prepare the payroll journal entries required to reflect these amounts, along with Silver's share of CPP contributions and EI premiums, in Silver's September 30 financial statements. Question content area bottom Part 1 Prepare the journal entry to record the accrual of the payroll on September 30. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.) Date Accounts and Explanation Debit Credit September 30 Salaries Expense…
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Beach Vacations pays salaries and wages on the last day of each month. Payments made on December 31, 20X1, for amounts incurred during December are shown below. Cumulative amounts paid prior to the December 31 payroll for the persons named are also shown. a. Francis Fisher, president, gross monthly salary, $11,880, gross earnings paid prior to December 31, $130,680. b. Sandy Swartz, vice president, gross monthly salary, $10,900; gross earnings paid prior to December 31, $109,000. c. Juan Rios, independent accountant who audits the company's accounts and performs certain consulting services, $10,900, gross amount paid prior to December 31, $27,250. d. Harry House, treasurer, gross monthly salary, $5,800; gross earnings paid prior to December 31, $63,800. e. Payment to Daily Security Services for Eddie Martin, a security guard who is on duty on Saturdays and Sundays, $1,180; amount paid to Daily Security Services prior to December 31, $11,800. Required: 1. Assume a 1.45 percent Medicare…
Beach Vacations pays salaries and wages on the last day of each month. Payments made on December 31, 20X1, for amounts incurred during December are shown below. Cumulative amounts paid prior to the December 31 payroll for the persons named are also shown. a. Francis Fisher, president, gross monthly salary, $11,910; gross earnings paid prior to December 31, $131,010. b. Sandy Swartz, vice president, gross monthly salary, $11,300; gross earnings paid prior to December 31, $113,000. c. Juan Rios, independent accountant who audits the company's accounts and performs certain consulting services, $11,060; gross amount paid prior to December 31, $27,650. d. Harry House, treasurer, gross monthly salary, $5,960; gross earnings paid prior to December 31, $65,560. e. Payment to Daily Security Services for Eddie Martin, a security guard who is on duty on Saturdays and Sundays, $1,230; amount paid to Daily Security Services prior to December 31, $12,300. Required: 1. Assume a 1.45 percent Medicare…
The standard direct labor rates in effect for the current fiscal year and the standard hours allowed for the actual output of work for July are shown in the following schedule. Worker classification Standard Direct Labor Rate per Hour $60 Standard Direct Labor-Hours Allowed for Output 1,380 1,840 2,300 II 55 III 45 The wage rates for each labor class increased under the terms of a new contract. The standard wage rates were not revised to reflect the new contract. The actual direct labor-hours worked and the actual direct labor rates per hour experienced for the month of July were as follows. Actual Direct Labor Rate Worker Classification Actual Direct per Hour $64 Labor-Hours 1,470 II 58 1,950 2,380 III 46 Required: Calculate the dollar amount of the total direct labor variance for July for Matthews & Bros. and break down the total variance into the following components: a. Direct labor price and efficiency variances. b. Direct labor mix and yield variances.
Sheffield Company began operations on January 2, 2019. It employs 11 individuals who work 8-hour days and are paid hourly. Each employee earns 13 paid vacation days and 8 paid sick days annually. Vacation days may be taken after January 15 of the year following the year in which they are earned. Sick days may be taken as soon as they are earned; unused sick days accumulate. Additional information is as follows. Actual HourlyWage Rate Vacation Days Usedby Each Employee Sick Days Usedby Each Employee 2019 2020 2019 2020 2019 2020 $13 $14 0 11 5 6 Sheffield Company has chosen not to accrue paid sick leave until used, and has chosen to accrue vacation time at expected future rates of pay without discounting. The company used the following projected rates to accrue vacation time. Year in Which VacationTime Was Earned Projected Future Pay RatesUsed to Accrue Vacation Pay 2019 $13.65 2020 14.73…
Brianna Whitman works for Schaum, Whitney, & Matte, LLP, in Washington, D.C., which pays employees on a biweekly basis. Brianna's annual salary is $163,600. The company started in 2021. Required: Calculate the following: (Do not round intermediate calculations. Round your answers to 2 decimal places.) Pay Period End September 24 December 31 Prior YTD Earnings Social Security Taxable Wages Medicare Taxable Wages Employer Share Social Security Tax Employer Share Medicare Tax
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For the current year ended December 31, a company has implemented an employee bonus program based on its net income, which employees share equally. Its bonus expense is $40,000. (a) Prepare the journal entry at December 31 of the current year to record the bonus due. (b) Prepare the journal entry at January 20 of the following year to record payment of that bonus to employees.