The following accounts, with the balances indicated, appear in the ledger

PR 11-6A Payroll accounts and year-end entriesThe following accounts, with the balances indicated, appear in the ledger of Quinn Co. on December 1 of the current year:311Salaries Payable—318Bond Deductions Payable$ 4,200312Social Security Tax Payable$10,830319Medical Insurance Payable33,000313Medicare Tax Payable2,850511Operations Salaries Expense1,150,000314Employees Federal Income Tax Payable17,575611Officers Salaries Expense750,000315Employees State Income Tax Payable17,100612Office Salaries Expense190,000316State Unemployment Tax Payable1,800619Payroll Tax Expense163,680317Federal Unemployment Tax Payable600The following transactions relating to payroll, payroll deductions, and payroll taxes occurred during December:Dec. 2.Issued Check No. 210 for $4,200 to Ace Bank to purchase U.S. savings bonds for employees.5.Issued Check No. 211 to Ace Bank for $31,255 in payment of $10,830 of social security tax, $2,850 of Medicare tax, and $17,575 of employees’ federal income tax due.16.Journalized the entry to record the biweekly payroll. A summary of the payroll record follows:Salary distribution:Operations$52,200Officers34,100Office8,650$94,950Deductions:Social security tax$ 5,697Medicare tax1,424Federal income tax withheld17,566State income tax withheld4,273Savings bond deductions2,100Medical insurance deductions5,50036,560Net amount$58,390Issued Check No. 220 in payment of the net amount of the biweekly payroll.Journalized the entry to record payroll taxes on employees’ earnings of December 16: social security tax, $5,697; Medicare tax, $1,424; state unemployment tax, $450; federal unemployment tax, $150.Issued Check No. 224 to Ace Bank for $31,048, in payment of $11,394 of social security tax, $2,848 of Medicare tax, and $17,566 of employees’ federal income tax due.Issued Check No. 229 to Blackwood Insurance Company for $33,000, in payment of the semiannual premium on the group medical insurance policy.Journalized the entry to record the biweekly payroll. A summary of the payroll record follows:Salary distribution:Operations$51,400Officers34,100Office8,400$93,900Deductions:Social security tax$ 5,634Medicare tax1,409Federal income tax withheld17,184State income tax withheld4,226Savings bond deductions2,10030,553Net amount$63,34730.Issued Check No. 341 in payment of the net amount of the biweekly payroll.30.Journalized the entry to record payroll taxes on employees’ earnings of December 30: social security tax, $5,634; Medicare tax, $1,409; state unemployment tax, $225; federal unemployment tax, $75.30.Issued Check No. 243 for $25,599 to State Department of Revenue in payment of employees’ state income tax due on December 31.30.Issued Check No. 245 to Ace Bank for $4,200 to purchase U.S. savings bonds for employees.31.Paid $50,000 to the employee pension plan. The annual pension cost is $65,000. (Record both the payment and unfunded pension liability.)Instructions1. Journalize the transactions.2. Journalize the following adjusting entries on December 31:a. Salaries accrued: operations salaries, $5,140; officers salaries, $3,410; office salaries, $840. The payroll taxes are immaterial and are not accrued.b. Vacation pay, $17,500.

 

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