The first pair of debit and credit columns on the general ledger are for: The second set of debit and credit columns in the general ledger show: The cash based business will show an increase in payroll expenses when: In a manufacturing environment, which of the employees time would be considered entirely directly billable? \text{Total budgeted fixed manufacturing costs} & \text{\$ 3.000.000}\\ A) True Vacation Benefits Payable is credited. Debits show increases to The Employees ________ _______ Connects accounting and human resource records, The information to be transferred from the payroll register to the employee's earnings records is located in each ______, the employee _______ _______ contains year-to-date earnings for each employee, earnings record (the payroll register contains several earning records). A federal tax paid for old-age, survivors, and disability insurance. Provides information for decision-makers about costs and company profitability a.SUTA funds are used to pay the state and federal administrative expenses and FUTA funds are used to pay the unemployment compensation benefits to the qualified unemployed workers. Tipton and Seferi were charged with hiring and harboring undocumented aliens. -Supervisor change 5. -before journal entries are recorded -journal entry and account number four employees. d. a credit to Vacation Benefits Payable = $1,178. Medicare tax Multiple select question. c. What is the largest number of items memorized by the subject? and more. State unemployment tax \text{Option \#3:}&&\text{\$ 10,000,000 after three years}\\ A description is sometimes included. E) Union dues withheld, 17. The payroll register provides all the payroll information needed to prepare a payroll. Payment of voluntary withholdings, True or false: The general ledger is the point where information gets entered into the accounting system database. D) SUTA tax adjusted in the next month. debit card based accounts. Over the three years that you have owned the stock, the corporation's board of directors have taken the following actions: Congratulations! (B) January 1 of the following year. b.FUTA funds are used to pay the state and federal administrative expenses and SUTA funds are used to pay the unemployment compensation benefits to the qualified unemployed workers. (4), True or False: Form W-2 reports an employee's annual earnings and the withholdings for federal income, social security, and Medicare taxes. D. all of the above. They must pay the employees with actual dollars. The following information was obtained for the Assembling Department for the month of September. What is always true about the general ledger? T F, The information needed in preparing a journal entry to record the wages earned, deductions from wages, and net amount paid each payday is obtained from the payroll register. (A) monthly. Which act sets the minimum wage, and what is the current wage rate? b.The Federal Personal Responsibility and Work Opportunity Reconciliation Act of 1996 A payroll accrual would be The employee earns more than the federal. B) completing the journal entry to record the payroll. Calculate the amount of cash payments Jacobs was required to make in each of the two calendar years that were affected by the note payable. (2), True or False: The employer social security tax rate is different than the employee social security tax rate. It adds complexity to the personnel recordkeeping. d. are required when the fiscal accounting period does not coincide with the end of the payroll period. General journal Payment of voluntary withholdings, The ___ ____ column in the General Ledger is a combination of letters and numbers, The use of reversing entries is: How would an increase in the value of the pound sterling affect American businesses? The balances in the General Ledger accounts form the foundation of financial reports. Soccer teams Apart from recording of payroll and payment to employees, what other payroll related journal entries would be recorded? T F, The employer keeps track of each employee's accumulated wages in the employee's earnings record. (C) total hours plus overtime rate. -account number and date, Where will entries for payroll show in the trial balance? False, False (p. 390), To record the payment of federal unemployment tax, the account debited is A Company who credits the cash account cannot pay their employees by check. The employee's _____ ____ connects accounting and human resource records, Earnings records are supporting documents for, The payroll accountant may perform the following duties. (D) IRS Form 941. a. Company management, Unions -lifetime balance in the payroll account, What are the common components of the posting reference d.All of these choices are correct. Payroll transactions are recorded in the General Journal and posted to General Ledger accounts. and more. Employees FIT Payable $987.00, ($1,534.78 + $358.94 + $987.00) = $2,880.72. B) FICA tax--HI b.11 (B) during the month following each calendar quarter. determined by: 8 & 9 Part 2 - Infant Nutrition, Microsoft Office 2016 Excel 2016 Chapter 7 Wo, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Fundamentals of Financial Management, Concise Edition, Daniel F Viele, David H Marshall, Wayne W McManus. c. state taxes. True chart of accounts. It can use the machine to produce 12 oz. The degree of completion of work-in-process inventory at September 30 was as follows: Required (D) in all 50 states. What is the learning rate at peak efficiency? true or false: The larger the number of withholding allowances claimed, the larger the amount of income tax withheld. B) False, FICA Taxes PayableHI is a liability account in which is recorded the liability of the employer What is the primary purpose of the Employee Retirement Income Security Act (ERISA)? Payments to sales taxing authorities true or false:A single person will have more income tax withheld than a married employee. Suppose Nantucket Nectars has a machine for which it paid $160,000 several years ago and is currently not being used. Suppose the learning rate is (D) none of these. (p. 396), Fundamentals of Financial Management, Concise Edition, Don Herrmann, J. David Spiceland, Wayne Thomas, Alvin A Arens, Mark A Beasley, Randal J Elder, Financial Reporting and Analysis: Using Financial Accounting Information. The reports are identical and provide necessary The typical overtime rate is $5.00 more than the regular hourly rate. Federal income tax is withheld from employee earnings (A) only in those states electing to do so. The purpose of a labor report is to do what? at the employer's discretion. b.Vesting conveys to employees the right to share in the retirement fund in the event they are terminated before the normal retirement age. d. union dues. Owners' Equity You'll get a detailed solution from a subject matter expert that helps you learn core concepts. B) False, Proving the payroll register entails sending company records to the IRS. b. all employers are now mandated to contribute at least 2% of gross wages to an employee's retirement account. (C) a memorandum. a. account balances form the basis for accounting reports; general ledger account balances aggregate data to determine payroll costs. The payment of payroll taxes to the government is referred to as a general ledger entries. $845.00 - $364.42 = $480.58. \text{0-30 days}&\text{\$\hspace{1pt}22,480}&\text{6\\\%}\\ Which of the following items would require an adjusting entry at the end of each accounting period? d. is used to record Workers' Compensation payments to injured workers. When the initial payroll journal entries are created, the accountant would debit the: Employer related payroll entries would include: Shared employer-employee taxes Which of these accounts shows the total gross earnings that the employer incurs as an expense each payday? What other blunt questions do you think would be appropriate? (B) IRS Form W-2 The following accounts receivable information pertains to Growth Markets LLC. Payment of voluntary withholdings, Payment of statutory withholdings Entering the payroll journal entry. Employee regular earnings are calculated as ____. Union dues withheld Multiple choice question. -Social Security tax is matched by the employer up to the Social Security wage base. -Employee supervisor redundancy. Garnishments adjusted when employees are paid. Allocate employee expenses to specific departments, Tax withholding and remittance When does peak efficiency occur? True Acting on a tip from the local police, agents of Immigration and Customs Enforcement executed search warrants at the restaurant and at an apartment where some restaurant workers lived. -company breakdown of supply usage A reversing entry would E) None of the above, 16. False, Which of the following accounts will appear on the balance sheet? true or false:Social security tax is paid by both employees and employers. Multiple select question. Payments for payroll regulation courses, Payment of statutory withholdings The amount on the employee earnings record used to determine if certain payroll taxes apply to an employee's earnings is (A) net pay. Tipped employee. -Pay rate, In financial accounting, the fundamental accounting equation is. Experts are tested by Chegg as specialists in their subject area. E) a child support order, 15. c. are the earnings remaining after withholding income taxes and other amounts required by law. The source document for paying employee income tax and social security and Medicare tax is: Revenues area, Liabilities area Since you plan to conduct business in the target country, you should be concerned about transparency of political institutions and judiciary. Multiple select question. (9). (A) unemployment taxable earnings. D) FUTA Taxes Payable- Cash medicare tax payable (1time) Under the Affordable Care Act, which employers are required to provide insurance coverage for all full-time employees and their dependents? purchasing managers General ledger entries are made ______ (after/before) general journal entries. Assume Nortel Networks contracted to provide a customer with Internet infrastructure for $2,000,000. Work in process on September 1 had 100,000 units made up of the following: During September, 500,000 units were transferred in from the Molding Department at a cost of$640,000. unnecessary under GAAP Identify some of the groups of users. T-tables. Government officials c. is used to record Workers' Compensation premiums paid by the employee. bring the accountant to the related entry in the general journal. -Transactions in general ledger accounts are the source for general journal entries. E) a percentage of the previous week's net payroll. Hintley Duck Blinds Ltd received a federal tax levy garnishment for their marketing manager, Joanna Mallard, in the amount of $8,523.25. (A) tax reimbursement. Multiple choice question. T F, 2. The average daily pay for Tortuga Travel's employees = $589. Multiple select question. Employers are required to furnish each employee with an annual statement of earnings and withholdings before: Medicare tax A. -payroll entries are accrued True Multiple choice question. The adjusting entry to record the accrued vacation pay at the end of an accounting period includes credits to the tax withholding liability accounts. A federal tax paid for hospital insurance. b. are only necessary when employees are paid in cash at the end of the year. An employer will use the payroll register to keep track of an employee's accumulated wages. In a payroll register having labor cost distribution columns, the total of each distribution column shows the amount of the gross wages or salaries for a particular department's wage expense. (7), True or False: If the tax base for calculating unemployment taxes is $7,000 and an employee's accumulated earnings are $6,500.00, and the employee earns another $1,500.00, the amount of new earnings subject to unemployment tax is $1,500.00. T F, When recording the employer's payroll taxes, a liability account entitled Employers Payroll In recording the monthly adjusting entry for accrued wages at the end of the b. a credit to Cash = $1,178. union negotiations. Compare taxes with other companies EE retirement income security act (ERISA). FICA Taxes Payable - HI $358.94 credit to cash, debit to liability. Employee Earnings Record. A) FUTA Tax Expense- Cash Which portion of the accounting equation represents the amounts owed by the company? Owner's equity = Residual value. Garnishment for child support payments Multiple choice question. Wages Expense The time of peak efficiency is the time when the learning rate is maximized. Multiple choice question. (B) net earnings Business managers use accounting entries to inform their decisions Cash Also known as the Federal Wage and Hour Law. Copy and complete the chart. d. companies are allowed to automatically enroll employees in the company's retirement plan. Which of the following is true about the employer responsibility for payroll taxes? a. the need for increased or decreased staff within a department, determining market price for company products, Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, Fundamentals of Financial Management, Concise Edition, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield. E) preparing the payroll register. Multiple choice question. (a) What is yyy after 111 hour (t=1)(t=1)(t=1)? and an employee earnings record? A) True The project began in 2021 and was completed in 2022. B) False, 11. other garnishment.. Have you prepared the financial statements and managerial reports? (5), True or False: In the journal entry for a payroll, the amount debited to Salary Expense is the total of the Net Pay column of the payroll register. electronic system. assets, liabilities, equity. Allocate employee expenses to specific accounts In other terms, a payroll . C246, Salary expense double payroll account balances. -by account type. A credit increases which of the following types of accounts? -journal entries to post backward. NALS: Ch. unemployment tax payable-state (multiply salary expense by 5.4%). Production supervisor -employees earn wages 8. Do you have managerial approval for all employee pay for the period? 2. A qualified retirement plan sponsored by an employer. A) completing forms W-2. 26. Multiple choice question. -Employee contributes to United Way Did you update the employees' earning records? B) a government student loan The process of transferring amounts from the general journal to the general ledger is called posting. true or false:Payroll taxes withheld represent a liability for an employer until payment is made. B. What is the second line of the general journal entry used for? Define the process of "posting." B) False, 15. a.ERISA ensures that workers covered by private pension plans receive benefits from those plans in accordance with their credited years of service with their employers. Social Security tax a. voluntary contributions to IRAs are no longer allowed in an employee retirement plan. create the need for more entries. Ways the general ledger is different from the general journal include: D) a percentage of the previous week's gross payroll. -Transactions from the general journal are posted to individual accounts. Allocate employee expenses to specific accounts A third alternative is selling the machine for cash of $75,000. a. a debit to Vacation Benefits Payable = $1,178. At September 30, 200,000 units were still in work-in-process inventory. c. to aid in completion of year-end informational returns, such as W-2s. Multiple select question. (C) a memorandum. $368.07. process of transferring amounts from the journal to the ledger is called posting; debit to an account in a journal transaction is a debit to that account in the ledger; ledger contains info about the individual accounts used in the journal transactions. Multiple choice question. If employees must contribute to the state unemployment fund, this deduction should be shown in the payroll tax entry. \hline\\ employee income tax payable Employer has the right to control both what work will be done and how it will be done. Define the process of "posting." Write your answers in simplest terms. False. Wages payable Multiple choice question. When employees actually use their vacation time Under the Civil Rights Act of 1964 and the Age Discrimination in Employment Act, which of the following questions may not be asked by an employer during pre-hire inquiries? What is the production-volume variance in 2017 when the denominator level is (a) theoretical capacity, (b) practical capacity, and (c) normal capacity utilization? c.The Civil Rights Act of 1964 Information gathered from the payroll register about each employee's payroll information is transferred to the ____ ____ ____. What if each firm produces a somewhat different product? -Entering the transactions in the general journal. A) FUTA tax B) False, 3. Automated entries, Identify the users of financial statements. The total earnings paid to an employee after payroll taxes and other deductions. state income tax expense Take-home pay minus weekly standard deduction and exemptions = federal tax levy garnishment. 1. 6. Which amounts on the payroll register reduce Federal withholding tax but are not deducted for FICA tax computations? and more. bank reconciliation. Why is the operating income under normal capacity utilization lower than the other two scenarios? A fundamental concept in accounting is the _____ ____ , which must remain balanced. (B) Medicare tax. computer backup. Fair Labor Standards Act. 4. using the wages of the salaried workers only. Unions true or false:Businesses use payroll records to inform employees of their annual earnings and to prepare payroll reports for the government. b. the standard deduction of the taxpayer. Would you expect the kinked demand curve to be more extreme (like a right angle) or less extreme (like a normal demand curve) if each firm in the cartel produces a near-identical product like OPEC and petroleum? Question 1: Why would you enter "N/A" on the line for federal withholding allowances on an employee earnings record? Option#1:Option#2:Option#3:$12,000,000afterfiveyears$2,150,000peryearforfiveyears$10,000,000afterthreeyears. 7. SUTA Taxes Payable $383.69 The state lottery offers you the following (after-tax) payout options: Option#1:$12,000,000afterfiveyearsOption#2:$2,150,000peryearforfiveyearsOption#3:$10,000,000afterthreeyears\begin{array}{lll} \text { Billings during the year } & 380,000 & 1,620,000 \\ (p. 378), The payroll journal entry is based on the totals of the payroll register (A) Total . A) True Payroll Taxes Balances in the general ledger payroll accounts are used in payroll reports . d. they are used to determine where cumulative wages are in relationship to wage bases (caps) for various taxes, such as OASDI, FUTA and SUTA. D) FUTA Taxes Payable- Cash Prepare absorption costing-based income statements for Magic Me Corporation using theoretical capacity, practical capacity, and normal capacity utilization as the denominator levels. b. -letter and number A) True (C) shows net pay for one quarter. jacksonglomb. Assuming you can earn 6% on your funds, which option would you prefer? Trend reports offer business leaders insight about changes in labor costs over a period. d. the account "Vacation Benefits Expense" is accrued. a. is used to record Workers' Compensation premiums paid by the company. B) completing the journal entry to record the payroll. E) 26.85. False, The employers' OASDI portion of FICA taxes is included as part of the payroll tax entry, but the Tax Expense is debited for both the employees' and the employer's portions of the FICA taxes. The Form 940 is the source document for all employee payroll journal entries. (C) annually. False. When asked if they would purchase the product, the people gave these responses: a. B) False, 8. b. For each choice of denominator level, the budgeted production cost per unit is also the cost per unit of beginning inventory. Which of the following taxes would be included in the employer related payroll entry? d. It allows payroll employees to create ghost employees . a. False. Overtime pay is paid for hours worked in excess of eight hours per day. b.The employee a business form used to record details affecting payments made to an employee. False. d. companies are allowed to automatically enroll employees in the company's retirement plan. True false question. (b) The second group will assess whether Tipton and Seferi can assert a defense by claiming that they did not know that the workers were unauthorized aliens. B) False, 7. Did you have the returns checked for accuracy? \text { Estimated costs to complete as of } 12 / 31 & 1,200,000 & -0- \\ The source document for paying state unemployment tax is: -bank reconciliation. The total amount earned by all employees for a pay period is a ____. e.None of these choices are correct. What is the total uncollectible estimated bad debt for Growth Markets LLC? A) True -posting date and posting time E) None of the above, 30. T F, The only portion of wages that are exempt from a federal tax levy is: c.The Federal Unemployment Tax Act sets the minimum wage and the current minimum wage rate is $7.25 per hour. E. Wages Expense Accounting principles assist in the classification of payroll costs and organizational performance. completing the journal entry to record the payroll. One employee earnings record is used each payroll period to detail the earnings of all employees. C) using the wages of the salaried workers only. Study with Quizlet and memorize flashcards containing terms like Unclaimed employee wages are returned to the employer. (B) transfer payment. c.Employees who earn more than $44,000 per year (3), True or False: Federal unemployment insurance laws require that employers and employees pay taxes for unemployment compensation. the master document accountants use to track employees' marital status, deductions (mandatory, voluntary, and mandated), and year-to-date earnings B) $161.10 \textbf{Past-Due Category}&\textbf{Accounts Receivable Total}&\textbf{Percentage Uncollectible}\\[5pt] Payroll Taxes Employee regular earnings are calculated as (A) regular hours times regular rate. Employees FIT Payable. Laborers for contractors who furnish materials, supplies, articles, and equipment to any agency of the United States, provided the minimum contract amount is $15,000. b.ERISA ensures that workers covered by state and federal government pension plans receive benefits from those plans in accordance with their credited years of service with their employers. Assets -A description is sometimes included. \end{array} a.The total additions to or deductions from wages - The date of the transaction is attached. have amounts in both debit and credit per account Multiple select question. Each employee name is listed in a payroll register along with (A) employee number. A) True Explain your reasoning. He is paid time-and-a-half for hours over 40 and his pay rate is $17.90/hour. Financial statements for a company are prepared according to GAAP. Executive orders. Which of these employee types is an allowable exception to the protection of the Age Discrimination in Employment? How does a payroll accountant use the information in the General Ledger? FUTA Taxes Payable is an expense account in which are recorded the employer's federal unemployment taxes. a.Employees over the age of 40 who have held high policymaking positions during the two-year period prior to retirement Payroll register. (See Immigration Law.). Payroll Taxes Payroll-related transactions contain both expenses and liabilities of a company. 401(k) contributions expense What is always true about the income statement? (B) is the total earnings since the first of the year. Additionally, information from the payroll register is used to complete payroll entries in the General Journal salaries and wages expense. (C) Net Pay column. (D) total earnings. -payroll adjustments are entered, The first pair of debit and credit columns on the general ledger are for: \text { Cash collections during the year } & 250,000 & 1,750,000 Social Security tax The account "Workers' Compensation Insurance Expense": C245. b. the standard deduction of the taxpayer. Do you know much each employee should be paid? (B) accumulated earnings. What account would be classified as a liability account? Wages and taxes expenses Vacation expense should be recorded as a debit when the employee earns it. FICA Taxes Payable - OASDI $1,534.78 Show your work. true or false:The investment income in a Roth IRA is not subject to federal income taxes when withdrawn. In each pay period, the payroll information for each employee is recorded on his or her employee earnings record. Every general journal entry will have at least arkham asylum how to get out of botanical gardens, methodist funeral readings,