Pigeon Forge Adventures offers its employees the option of contributing up to 5% of their salaries to a voluntary retirementplan, with the employer matching their contribution. The company also pays 100% of medical and life insurance premiums.Assume that no employee's cumulative wages exceed the relevant wage bases. Payroll information for the first biweeklypayroll period ending February 14 is listed below.Wages and salariesEmployee contribution to voluntary retirement planMedical insurance premiums paid by employerLife insurance premiums paid by employerFederal and state income tax withheldSocial Security tax rateMedicare tax rateFederal and state unemployment tax rateRequired:$1,400,00058,80029,4005,600350,0006.20%1.45%6.20%f1. Record the employee salary expense, withholdings, and salaries payable.2. Record the employer-provided fringe benefits.3. Record the employer payroll taxes.Record the necessary entry for the scenarios given above. (If no entry is required for a transaction/event, select "No JournalEntry Required" in the first account field.)

Journal entries are fundamental records used in accounting to capture financial transactions. Both…

Answered: Pigeon Forge Adventures offers its…

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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Great Lakes Tours' total payroll for the month of January was $440,000. The following withholdings, fringe benefits, and payroll taxes apply: Federal and state income tax withheld Health insurance premiums paid by employer (payable to Blue Cross) Contribution to retirement plan paid by employer (payable to Fidelity) FICA tax rate (Social Security and Medicare) Federal and state unemployment tax rate $44,000 Required: 1. Record the employee salary expense, withholdings, and salaries payable. 2. Record the employer-provided fringe benefits. 3. Record the employer payroll taxes. 7,920 17,600 7.65% 6.20% Assume that none of the withholdings or payroll taxes has been paid by the end of January (record them as payables), and no employee's cumulative wages exceed the relevant wage bases. Record the necessary entry for the scenarios given above. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
Vacation Destinations offers its employees the option of contributing up to 7% of their salaries to a voluntary retirement plan, with the employer matching their contribution. The company also pays 100% of medical and life insurance premiums. Assume that no employee’s cumulative wages exceed the relevant wage bases. Payroll information for the first biweekly payroll period ending February 14 is listed below.Wages and salaries $1,500,000Employee contribution to voluntary retirement plan 63,000Medical insurance premiums paid by employer 31,500Life insurance premiums paid by employer 6,000Federal and state income tax withheld 375,000Social Security tax rate 6.20%Medicare tax rate 1.45%Federal and state unemployment tax rate…
The following salaried employees of Mountain Stone Brewery in Fort Collins, Colorado, are paid semimonthly. Some employees have union dues or garnishments deducted from their pay Required: Calculate their net pay using the percentage method for manual payroll systems with Forms W-4 from 2020 or later in Appendix C to determine federal income tax. Assume box 2 is not checked for any employee. Include Colorado income tax of 4.55 percent of taxable pay. No employee has exceeded the maximum FICA limit. (Round your intermediate calculations and final answers to 2 decimal places.) Employee S. Bergstrom C. Pare L Van der Hooven S Lightfoot Filing Status. Dependents MJ-0 MJ-2 (<17) S-1 (Other) MJ-0 $ $ $ $ Pay Union Dues per Periodi 1,730 3,560 $ 3,285 $ 2,910 120 240 Garnishment per Period $ $ S 50 75 100 Net Pay
Lawrence Corp. has an employee benefit plan for compensated absences that gives each employee 10 paid vacation days and 10 paid sick days. Both vacation and sick days can be carried over indefinitely. Employees can elect to receive payment in lieu of vacation days; however, no payment is given for sick days not taken. At December 31, 2021, B's unadjusted balance of liability for compensated absences was $42,000. B estimated that there were 300 total vacation days and 150 sick days available at December 31, 2021. B's employees earn an average of $200 per day. In its December 31, 2021, balance sheet, what amount of liability for compensated absences is B required to report? A. $84,000. B. $60,000. C. $90,000. D. $144,000.
River Signorini works for New & Old Apparel, which pays employees on a semimonthly basis. River's annual salary is $193,000. Required: Calculate the following: Note: Round your final answers to 2 decimal places. Pay Date October 13 Prior YTD Earnings Social Security Taxable Wages Medicare Taxable Wages Employer Share Social Security Tax Employer Share Medicare Tax December 29
Christine Boone is an employee at Americamp Vehicles. She earns a salary of $35,450 annually, paid biweekly. She contributes to the following fringes benefits and other deducations: Medical insurance: $108 per pay period Dental insurance: $29 per pay period 401(k): 5% of gross pay Union dues: $114 per month Additional withholding: $89 per month Required: What is the total annual amount of Christine's fringe benefits and other deductions? Round your answer to 2 decimal places. Medical insurance dental insurance 401(k) union dues additional withholding Total amount of Christine's fringe benefits and other deducations
The following salaried employees of Mountain Stone Brewery in Fort Collins, Colorado, are paid semimonthly. Some employees have union dues or garnishments deducted from their pay Required: Calculate their net pay using the percentage method for manual payroll systems with Forms W-4 from 2020 or later in Appendix C to determine federal income tax. Assume box 2 is not checked for any employee. Include Colorado income tax of 4.55 percent of taxable pay. No employee has exceeded the maximum FICA limit. (Round your intermediate calculations and final answers to 2 decimal places.) Employee Filing Status, Dependents S. Bergstrom MJ-0 Pay $ Union Dues per Period Garnishment per Period Net Pay 1,730 $ 50 C. Pare MJ-2 (<17) $ 3,560 $ 120 L Van der Hooven S-1 (Other) S 3,285 $ 240 $ 75 S Lightfoot MJ-0 S 2.910 S 100
During the month of January, an employee earned $4,400 of salary. Withholdings from the employee's salary consist of FICA Social Security taxes of $272.80, FICA Medicare taxes of $63.80, federal income taxes of $468.60, and medical insurance deductions of $187.00. Prepare the journal entry to record the employer's salaries expense and related liabilities assuming these wages will be paid in early February. Note: Round your final answers to 2 decimal places. View transaction list Journal entry worksheet 1 Record payroll for period. Note: Enter debits before credits. Date January 31 + General Journal Debit Credit X
Jon Corp. has an employee benefit plan for compensated absences that gives each employee 10 paid vacation days and 10 paid sick days. Both vacation and sick days can be carried over indefinitely. Employees can elect to receive payment in lieu of vacation days; however, no payment is given for sick days not taken. At December 31, 2021, Jon 's unadjusted balance of liability for compensated absences was $42,000. B estimated that there were 300 total vacation days and 150 sick days available at December 31, 2021. Jon's employees earn an average of $200 per day. In its December 31, 2021, balance sheet, what amount of liability for compensated absences is B required to report? A. $60,000. B. $84,000. C. $90,000. D. $144,000. D. 9.7%.
During the month of January, an employee earned $5, 800 of salary. Withholdings from the employee's salary consist of FICA Social Security taxes of $359.60, FICA Medicare taxes of $84.10, federal income taxes of $617.70, and medical insurance deductions of $246.50. Prepare the journal entry to record the employer's salaries expense and related liabilities assuming these wages will be paid in early February. Note: Round your final answers to 2 decimal places.
None
Emily Tumbull, president of Gold Coast Equipment Corporation, is concerned about her employees' well-being. The company offers its employees free medical, dental, and life insurance coverage. It also matches employee contributions to a voluntary retirement plan up to 5% of their salaries Assume that no employee's cumulative wages exceed the relevant wage bases. Payroll information for the biweekly payroll period ending January 24 is listed below Wages and salaries Employee contribution to voluntary retirement plan Medical insurance premiums paid by employer Dental Insurance premiums paid by employer Life insurance premiums paid by employer Federal and state income tax withheld FICA tax rate Federal and state unemployment tax rate Required: 1. Record the employee salary expense, withholdings, and salaries payable. 2. Record the employer-provided fringe benefits 3. Record the employer payroll taxes $1,900,000 95,000 38,000 13,300 6,650 488,500 7.65% 6.20% Record the necessary entry for…

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