Payroll
The journal to recognize the accrual of employer's payroll taxes would include a.
a. Cr Payroll Tax Expense
b. DR to FICA taxes payable
c. Dr to FUTA taxes
d. Debit to Payroll Tax Expense
d What is -DR to Payroll Tax Expense
What is the amount of depreciation expense for the first full year of use for a fixed asset costing $100,000 with an estimate residual value of $5,000 and a useful life of 5 years using the straight line method.
What is $19,000 ($100,000-$5,000)/5?
What is the journal entry to adjust impaired goodwill?
a. Dr. Loss on Impaired GW and CR GW
b. Dr. GW and CR Loss on Impaired GW
c. Dr. GW and CR GW expense
d. DR CW and CR Intangible Asset
a - What is DR Loss on Impaired GW and CR GW
What are the advantages of converting an accounts payable into a notes payable?
Formalizes the payment and binds it legally. Companies also earn interest.
Are employers levied a tax on payroll for FUTA?
a.True
b. False
What is True?
Fixed assets are presented on the balance sheet:
a. At replacement costs
b. At current market value
c. At cost less accumulated depreciation
d. As a liability
c - What is at cost less accumulated depreciation?
What 2 accounts (Debit and Credit) would be affected at the end of the period when adjusting the product warranty expense to reflect the estimated product warranty expense for the period?
Product Warranty Expense(DB) and Product Warranty Payable(CR)
What is one example of a natural resource.
Timber, metal, and minerals.
What is the journal entry to record the payment of a 2,000 note plus 60 interest?
a. DR Cash, Cr Notes Payable and Cr Interest Payable
b. Dr Notes Payable and DR Interest Expense and CR Cash
C. Dr Cash, DR Interest Expense and Cr Notes payable
d. Dr. Accounts Payable, CR Cash, Dr Interest Expense, CR Notes Payable
b -Notes Payable dr 2,000
Interest Expense dr 60
Cash cr 2,060
Which of the following are required to be withheld from your pay.
a. FUTA taxes
b. Social Security Taxes
c. SUTA taxes
d. All of the above
d. What is all of the above?
The acquisition of a used equipment with a purchase price of 80,000, requiring an overhaul costing 10,000, installation cost of 6,000 and special acquisition fees of 4,000 would journalized with a debit to the asset account for
a. 90,000
b.84,000
c. 100,000
d. 80,000
c -What is 100,000?
Record a journal entry for Samsung immediately after they have been ordered to pay $1.05B in damages to Apple.
They would not record a journal entry but instead put a note on their financial statements.
How do you journalize the adjusting entry at year end to amortize patent rights?
a. Patents DR and Amortization Expense- Patents CR
b. No entry required
c. Amortization Expense- Patents (Dr) and Patents CR
d. Product Warrant DR and Patents CR
c - DR Amortization Expense-Patents and CR Patents
In early June Richburg company issued a $100,000, 5 %, 120 day note payable to Carter Industries. Assuming a 360 day year, what is the maturity value of the note?
What is 101,667
100,000 + (100,000 X 5% X 120 / 360 = 101,667
What is the typical journal entry to record employees earnings?
Debit Salaries Expense
Credit SS Tax Payable
Credit Medicare Tax Payable
Credit Federal Income Tax Payable
Credit Salary Tax Payable
JD company purchased a mining site for 2,000,000 on August 1. The company expects to mine ore for the next 15 years and believes that a total of 500,000 tons will be recovered. However, during the first year, the company extracted 10,500 tones of ore. The depletion expense is.
a. 42,000
b. 20,000
c. 30,000
d. 0
a What is 42,000? (2,000,000/500,000-4x10,500
Company A had a warranty expense that was equal to 5% of their total sales last year. Record the journal entry to estimate warranty expense at the beginning of the period if they expect $924,000 in sales this year.
(Warranty Expense 46,200 DR Estimated Warranty Liability Payable 46,200 CR) 924,000 x5% = 46,200
Can a manufacturer acquire exclusive rights to produce and sell goods with one or more unique features?
True
False
What is True
Which of the following forms is given to employees at YE to file their personal income taxes?
a. 401 k plans
b. 941 quarterly return
c. Form W-4
d. Form W-2
d -What is form W-2
What is account is debited to journalized the payment of net pay?
a. Salaries Expense
b. Salaries Payable
c. Federal Income Tax Expense
d. Social Security Tax
b.What is Salaries Payable?
For equipment purchased on May 1 at a cost of 150,000 has a depreciable cost of 100,000 and useful life of 4 years or 40,000 hours. What is the depreciation for the fiscal year ending December 31 using the straight line method
a. 50,000
b. 90,000
c. 12,500
d. 40,000
.
c What is 12,500 (100,000/4 =25,000/12 = 2,0833X6 = 12,500
On August 8, CT Company issued an $80,000, 120-day note discounted to Wells Fargo at a 5%payable to Brown Industries. Assuming a 360-day year the borrower will pay the following at maturity.
a. 80,000
b, 4,000
c. 65,000
a. Must pay the face about of the date at the due date
On August 8, CT Company issued an $80,000, 5%, 120-day note payable to Brown Industries. Assuming a 360-day year, what is the maturity value of the note?
Answer $81,333
80,000 X 5% X120/360 = 1,333 + 80,000
What is the better favorable quick ratio for a business?
a. .25
b. 1.00
c. 2.00
d. .90
a. What is .25?