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iPad 8:39 PM 84% edugen.wileyplus.com O These a Seeing Th....Four Frien.. 30 Pub

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iPad 8:39 PM 84% edugen.wileyplus.com O These a Seeing Th....Four Frien.. 30 Public.. Personal a...How To Ad... Test result.... Online Ser. Kimmel, Accounting, 4e Help I CALCULATOR PRINTER VERSION BACK ASSIGNMENT RESOURCES Problem 10-1A Ch10 Homework v4 Your answer is partially correct. Try again. On January 1, 2012, the ledger of Kindt Company contained these liability accounts. Accounts Payable Sales Taxes Payable Unearned Service Revenue $60,420 7,870 21,920 During January, the following selected transactions occurred. Jan. 1 Borrowed $18,000 in cash from Premier Bank on a 4-month, 5%, $18,000 note. 5 Sold merchandise for cash totaling $5,724, which includes 6% sales taxes. 12 Provided services for customers who had made advance payments of $13,003. (Credit Service Revenue.) 14 Paid state treasurer's department for sales taxes collected in December 2011, $6,614. 20 Sold 800 units of a new product on credit at $51 per unit, plus 6% sales tax. During January, the company's employees earned wages of $74,360. Withholdings related to these wages were $5,689 for Social Security (FICA), $5,311 for federal income tax, and $1,593 for state income tax. The company owed no money related to these earnings for federal or state unemployment tax. Assume that wages earned during January will be paid during February. No entry had been recorded for wages or payroll tax expense as of January 31 Review Score Objective (a) Journalize the January transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Esplanation Debit Credit an. 1 18000

Explanation / Answer

January Transactions Date   Account Title Dr $ Cr$ Jan 1. Cash                 18,000 Note Payable               18,000 Jan 5. Cash                   5,724 Sales Revenue                 5,400 Sales Tax Payable                     324 Jan 12. Service Revenue               13,003 Unearned Service Revenue                 13,003 Jan 14. Cash                 6,614 Sales Tax Payable                   6,614 Jan 20. Sales Revenue               40,800 Sales Tax Payable                 2,448 Accounts Receivable                 43,248 Adjusting Entries Date   Account Title Dr $ Cr$ Jan 31. Interest Expense                      75.0 Accrued Interest Payable                       75 Jan 31. Wages Expenses                 74,360 FICA Tax Payable                 5,689 Federal Income Tax Payable                 5,311 State Income Tax Payable                 1,593 Wages Payable               61,767 Jan 31. Payroll Tax Expenses                   5,689 FICA Tax Payable                 5,689 Current Liability Section As on Jan 31. Amt $ Note Payable                 18,000 Accounts Payable                 60,420 FICA Tax Payable                 11,378 Federal Income Tax Payable                   5,311 State Income Tax Payable                   1,593 Wages Payable                 61,767 Accrued Interest Payable                         75 Accounts Receivable                 43,248 Sales Tax Payable                   4,028 Unearned Service Revenue                   8,917 Total Current Laibilities               214,737