About Quizlet. Study with Quizlet and memorize flashcards containing terms like Promissory note, contra cost of goods sold, Credit to notes payable for $5,000 Debit to equipment for $5,000 and more. | Brookshire Grocery | $2.5$ | Create. The time can then be transferred to a specific customer's invoice by completing the following steps: B) Select Customer Name in drop-down Customer List, and select Service from the drop-down Services List. $$ each employee during the week and includes time billable to customers. Sales consisted of 2,500 units in Year 1 and 2,000 units in Year 2. Select the drop-down arrow by Add Check in the Check Register window, then select the new type of transaction to enter i.e. Payroll data for the current week are as follows: hours worked, 46; federal income tax withheld, $350; social security tax rate, 6.0%; and Medicare tax rate, 1.5%. All of the following are true regarding QBO Customers List except: D) It contains past sales transactions and allows us to estimate future intended sales. Activity-based costing uses more cost (1) than traditional costing. Each computer has a 2 year warranty that covers replacement of defective parts. |--------------------------|:-----------:|---------------------------|:-----------:| What type of legal entity do many entrepreneurs use and why? Adjusting entries, on the other hand, are not mistakes, but updates that are required to bring accounts to their correct balance as of a certain date, How to Correct Errors on Saved Documents, such as invoices or purchase orders. a. Notes payable is classified as a liability that has which of the following effects? and In activity-based costing, the process of assigning overhead costs to activity cost pools is ______ stage allocation. Which of the following taxes would be deducted in determining an employee's net pay? If Coca-Cola's sales had grown from 1939 to 1945 at the same rate that they grew between 1934 and 1939, its sales in 1945 would have been approximately ___ cases. $$ Study with Quizlet and memorize flashcards containing terms like A _________ is a probable future payment of assets or services that a company is presently obligated to make as a result of past transactions or events., Which of the following items would be considered a current liability?, A measurable obligation arising from agreements, contracts, or laws is called a ________ A) Click the Gear Icon, click Account and Settings, Click Advanced, click Chart of Accounts, then check Enable Account Numbers. _________ are amounts owed to suppliers for products or services purchased on credit. What is that order and why do financial statements need to be prepared in that order? On July 1, Scene Co. borrowed $15,000 cash from First Bank by signing a 30-day, 5% interest-bearing note. Which transaction type does not appear on the Create (+) screen? In QBO, what is the difference between a Bill form and an Expense form? What is the entry to record the estimated gift card expense? During September, Excom sells 100 radios for $50 each. : Employers often withhold amounts from employees' earning which arise from employee requests, contracts, unions, or other agreements. To learn more about preparing 1099s, see www.irs.gov. A __________ ____ is sometimes used by businesses to extend credit for a sales transaction, A purchase discount is a ______ ____ __ _____ ____ account and has a normal credit balance. Scheduled 2. In the current year's income statement, Hall should show warranty expense of. C) Bank reconciliations compare actual assets existing at the bank with accounting records. During World War II, Coca-Cola Co. cut off all syrup sales to Germany in 1940, resulting in no sales from 1943 to 1945. When we enter vendor transactions, we typically need to use the Vendors List. For what amount in September would Excom debit Product Warranty Expense? Jingle Company signs a 6-month, $20,000 note. Study with Quizlet and memorize flashcards containing terms like An attacker gained remote access to a user's computer by exploiting a vulnerability in a piece of software on the device. Federal and state income taxes withheld, FICA, and unemployment taxes. The annual Federal Unemployment Tax Return is: A bank that is authorized to accept deposits of amounts payable to the federal government is a: An employer's federal unemployment taxes (FUTA) are reported: The current FUTA tax rate is 0.8%, and the SUTA tax rate is 5.4%. A company must create a bank deposit to transfer the funds from the Undeposited Funds account to the appropriate bank account. Study with Quizlet and memorize flashcards containing terms like Current liabilities are due a. but not receivable for more than one year b. but not payable for more than one year c. and receivable within one year d. and payable within one year, Notes may be issued a. when assets are purchased b. to creditors to temporarily satisfy an account payable created earlier c. when Employers FUTA taxes are reported on IRS Form _. A company sold $12,000 worth of trampolines with an extended warranty. Solutions. Get the app. Compute the mean and variance of the number of refrigerators sold daily. A known liability is a measurable obligation arising from agreements, contracts, or laws. Study with Quizlet and memorize flashcards containing terms like Which of the following elements influence your view of the financial world? The journal entry on November 1, 2018 would include which of the following? B) QBO Reports provides information to a variety of decision makers and is the output of the accounting system. The company had an unrealized gain on available-for-sale securities of $120,000 before income taxes for the year. The FUTA tax rate is 0.8%, and the SUTA tax rate is 5.4%. Study with Quizlet and memorize flashcards containing terms like Promissory note, contra cost of goods sold, Credit to notes payable for $5,000 Debit to equipment for $5,000 and more. The Balance Sheet's updated accounts are needed to prepare the Statement of Cash Flows. All of the following statements are true about Owners' Equity except? Employee Lists in QBO online are used to: Collect information about employees for payroll purposes including name, Social Security number, and address. The central nervous system is comprised of Answer the question to help you recall what you have read. Display the document, correct the error, then save the document again. (Check all that apply.) A) Increased with credits and decreased with debits. Entries to record payments of taxes, refunds, and purchases of equipment are recorded in the cash payments journal under the column headings: The journal entry to record a merchandising company's payment on account will include a debit to the ________ accounts. Adjusting entries are not mistakes but updates required to bring accounts to the correct balances as of a certain date. Each year there is a ceiling for the amount that is subject to all of the following except. On September 1, ABC Company borrowed $50,000 on a 6%, 9-month note payable to XYZ National Bank. Rimland Corporation has employee salary expense of $10,000 on April 30, 2018. What is the amount of total unemployment taxes the employer must pay on this employee's wages? C) Legal entity dictates what tax form a company uses and the tax form affects the accounts QBO needs to use. Study with Quizlet and memorize flashcards containing terms like Activity-based costing uses numerous (1) cost pools. (Enter only one word per blank. Study with Quizlet and memorize flashcards containing terms like A pension plan that promises employees a fixed annual pension benefit, based on years of service and compensation, is called a(n), Chang Co. issued a $50,000, 120-day, discounted note to Guarantee Bank. Scott Company sells merchandise with a one-year warranty. A company's cash register displays the transaction totals for the day, which include cash sales of $2,000 and sales tax of $200. Examples of employee voluntary deductions may include all of the following except: Which of the following items is not a payroll deduction? Activity rates are used to apply overhead costs to products and customers in the (1)-stage allocation. QuickBooks considers all of the following to be vendors except: Which of the following two are Vendor and Expense transactions? Subjects. About Quizlet. Sawyer would record this payment with a ___________ to Interest Expense in the amount of ____________. What is the amount of total unemployment taxes the employee must pay? True or false: In an automated environment, using traditional allocation bases based on volume may distort unit product costs. FUTA taxes. The physical inventory worksheet is used when: Which one of the following is dot financial statement? The employee's annual FICA taxes amount is: Phildell Phoenix is paid monthly. $434.00. At least once a year, businesses typically reconcile: To enter Vendor and Expense transactions: b. The Reports includes but are not limited to the following: Financial, D) When preparing tax returns, a company uses the same rules as those used to prepare. B) Banking and Credit Card, Customers and Sales, Vendors and Expenses, Employees and. Home. Wrote off accounts receivable as uncollectible: Silver, Co., $1,400; Owen Reis,$ 700; and Pristine, Inc., $700 A ________________ liability is a liability due within one year or the company's operating cycle, whichever is longer. I. On November 1, Carter Company signed a 120-day, 10% note payable, with a face value of $9,000. d. brain and spinal cord, Review these math skills and solve the exercises that follow. ), experienced the following events: $$ \begin{matrix} \text{Jul 6} & \text{Smith invested \$41,000 in the business, which in turn issued its common stock to him. Following a bumpy launch week that saw frequent server trouble and bloated player queues, Blizzard has announced that over 25 million Overwatch 2 players have logged on in its first 10 days. is required to complete the 1099. B) Income by Customer Summary, and Sales by Product/Service Summary. & \text{1-30 Days} & \text{31-60 Days} & \text{61-90 Days} & \text{Over 90 Days} \\ An online place where you can find short articles or comments on a particular subject area is called a(n) ___________. On January 1, Avers Co. borrowed $10,000 by extending their past-due account payable with a 60-day, 8% interest-bearing note. Study with Quizlet and memorize flashcards containing terms like A ________ liability is an obligation due to be paid or settled within one year or the company's operating cycle, whichever is longer, On January 1, KC co. borrowed $10,000 cash from Lake St. Bank by signing a 90- day, 8% interest- bearing note. A _____________ is a seller's obligation to replace or fix a product that fails to perform as expected within a specified period. What is the due date of the note? Flashcards. Indicate the order in which the following onscreen vendor and expense transaction forms typically should be prepared. During World War II, Coca-Cola Co. cut off all syrup sales to Germany in 1940, resulting in no sales from 1943 to 1945. Claimant Phone Number. Maryland Company offers a bonus plan to its employees equal to 3% of net income. Next, select the type of. Keep a running balance. B) Expense record expenses paid for using cash, check or credit card at the time a. B) Trial Balances are prepared only after making adjustments (adjusting entries) since the account balances must be up to date to prepare a trial balance. e. All of the above. b. Why is it important to align QBO with a company's legal entity and tax information during initial set, Legal entity dictates what tax form a company uses and the tax form affects the accounts, Businesses might want to have multiple checking accounts to provide various functions. One of the objectives of bank reconciliation is: b. Update accounting records with unrecorded items. Hello, and welcome to Protocol Entertainment, your guide to the business of the gaming and media industries. | Other revenues and gains | 20,000 | Other expenses and losses | 28,000 | | $\mathbf{1}$ | $.09$ | $.17$ | $.13$ | Study with Quizlet and memorize flashcards containing terms like Adjusting entries ensure that ______ balances are reported at amounts representing the economic benefits that remain at the end of the period., Which of the following would be referred to as "accruals? Accounts and Settings is an option available by clicking on the Gear icon in the upper right side of the QBO screen. The $100 sales tax will be recorded in the ________ column of cash receipts journal. (will cash have to increase or decrease based on the reconciling item). On July 8, Jones Inc. issued an $80,100, 10%, 120-day note payable to Miller Company. A company should always use the same checking account for business transactions and for the owner's personal transactions to steamline recording transactions. | | Refrigerators | | | | Forever 21 | $4.4$ | The likelihood of future payment or loss. FUTA taxes are: A. C. Employee income taxes. In the wake of the financial crisis of 20072009, negative connotations often surrounded the term mortgage-backed security. What arguments could you make to convince someone that she may have benefi ted from the growth in securitization over the past 30 years? 1. Records all transactions affecting the Checking account. Federal and state income taxes withheld, FICA, and unemployment taxes. B. Medicare taxes. (Enter only one word per blank.). Known liabilities would include all of the following items, except: Bina Consulting Co. collected $500 from a customer in advance to provide consulting fees for the next two months. What is the main objective of financial reporting? A measurable obligation arising from agreements, contracts, or laws is called a ________ liability. Federal and state income taxes withheld, FICA, and unemployment taxes. The cost of repair defects under the warranty is estimated at 5% of the sales price. True False, In its definition of employee, FICA clearly distinguishes between classes or grades of employees. The tax is recorded on Bryne's general ledger as a ___________ account. Cadie Construction Co. signed a note promising to pay a cement supplier $1,000 60-days from now. 1. When using the Navigation Bar in QBO to enter in sales transactions, a user must perform the, Select Sales and click on the drop-down arrow for New transaction. 1. Learn. $322.00. This past year, Angela received 1% of Marks net income, in addition to her annual salary. a. The $50 sales tax will be recorded in the sales tax _______ column of the cash receipts journal. | Mary Kay | $4.0$ | Anderson Co. issued a $49,608, 60-day, discounted note to National Bank. FUTA taxes are: A. Paid absences offered to employees are called _____________-benefits. True or false: An employer pays federal unemployment tax as a percentage of an employee's total pay for the year. $\$ 19.99 \times 500$ I. Unscheduled 3. Using a 360-day year, what is the amount of interest expense recognized by Jones in the current fiscal year? Assume that the fiscal year of Jones ends July 31. Solutions. A __________ is when an employer provides employees with a percentage of the net income earned during the year. and more. B) Transactions are exchanges between a business and other parties. The characteristics of a liability include: Obligations due to be paid within one year or the company's operating cycle, whichever is longer, are: Obligations not expected to be paid within the longer of one year or the company's operating cycle are reported as: Liabilities involve addressing issues of: Amounts received in advance from customers for future products or services: Unearned revenue is initially recognized with a: Advance ticket sales totaling $6,000,000 cash would be recognized as follows: Contingent liabilities must be recorded if: In the accounting records of a defendant, lawsuits: The times interest earned ratio reflects: A company's had fixed interest expense of $6,000, its income before interest expense and any income taxes is $18,000, and its net income is $8,400. Winn will record total interest expense of. Study with Quizlet and memorize flashcards containing terms like Geographic dispersion Multiple departments Increased task variation., According to FMLA, during the time that an employee is on family leave:, The Age Discrimination in Employment Act prohibits and more. What is the primary objective of accounting and how does QBO assist in achieving this objective? Which of the following statements is true regarding QBO? In QBO, what is the difference between the vendor transaction Bill and Expense? Leo Calvin is required to have _________ taxes withheld from his pay in order to cover the cost of future retirement, disability, survivorship and medical benefits. Study with Quizlet and memorize flashcards containing terms like Which of the following elements influence your view of the financial world? Why is it important to have a petty cash fund available in a company? 940. may be allocated to products based on cause, Costs of unused or idle capacity are assigned to products when using a(n) (1) costing system. Simar would record potential claims in a __________ account. | Selling expenses | 120,000 | Administrative expenses | 150,000 | Jorge's gross pay totals $_______. On January 1, Gemstone Company obtained a $165,000, 10-year, 7% installment note from Guarantee Bank. Banking and Credit Card, Customers and Sales, Vendors and Expenses, Employees and Payroll, and Other, If updating While entering a transaction, then use, the screen where you enter the transaction to update as well, Before entering transactions and While entering transactions. C) Balance sheet accounts are considered permanent accounts and these accounts have balances that are carried forward from year to year. (Enter only one word per blank. What is the maturity value of the note on March 1? C) It contains past sales transactions and allows us to estimate future intended sales. West Company pays health insurance for its employees of $2,000 for the pay period. Both unemployment taxes are applied to the first $7,000 of an employee's pay. Which of the following is NOT true regarding the Allowance method? The December 31, Year 1 carrying amount in the allocation of periodic payments table for this installment note will be equal to: Hall Company sells merchandise with a one-year warranty. Total cost of each activity divided by the total activity is the computation of ______. Correcting errors on saved documents requires all of the following except: D) Destroy the document to ensure there is no source for identity theft since that is more important than needing an audit trail. A) Select Accounting from the Navigation Bar, and from the Chart of Accounts window select View Register. In the Check Register, the term "split" indicates the payment is split between two or more: Deposits other than customer payments are entered using: We we are paying a bill immediately when we receive products or services we can use the Expenses onscreen form when we pay with: Examples of money going out that can be recorded using the Expense or Checking onscreen forms include all of the following except: Examples of money going out that should not be recorded using a Check or Expense onscreen form include: Ways to record money out using QBO include: The Pay Bills form is used to select bills we want to pay. No change needs to be made to the Cash account for Outstanding Checks and Deposits in Transit. The primary objective of accounting is to provide information for decision making and QBO is used to capture, track, sort, summarize, and communicate financial information. The most common reports prepared using ABC data are the product and customer (1) reports. C) By double clicking on a transaction, the user can view the source document for that particular transaction and make changes if needed. Study with Quizlet and memorize flashcards containing terms like True or False: Specific identification is an inventory method typically used when accounting for expensive and unique inventory items. True False, FICA includes partnerships in its definition of employer. Gary Smith opened a medical practice specializing in surgery. ), experienced the following events: $$ \begin{matrix} \text{Jul 6} & \text{Smith invested \$41,000 in the business, which in turn issued its common stock to him. D) QBO can connect a company's bank account and its credit card resulting in expenses being automatically downloaded from the bank or credit card to QBO. Unemployment taxes are examples of __________________ taxes. The final step in implementing ABC is ______. \text{Estimated percent uncollectible} & 0.2 \% & 2 \% & 20 \% & 25 \% \\ Taxes associated with these earnings include federal withholding tax of $45, state withholding tax of $18, social security tax of $44.64, Medicare tax of $10.44, FUTA tax of $4.32, and SUTA tax of $38.88. Reminder. What two forms must Johnice file for her business? During the month, Boyd sales total $20,000. What type of activities are carried out regardless of which customers are served, which products are produced, how many batches are run or how many units are produced? Employers must pay employee taxes in addition to those paid by the employees. An analysis of payments from the fund showed only one payment: Delivery expense, $50. Products can be. Keys should record a contingent liability prior to the evacuation. Medicare, and FUTA tax purposes. The QBO Create (+) icon lists various transactions that can be created. A) When making journal entries, accountants generally list Debits before Credits, however, QBO may not always list Debits before Credits in journal entries. A flush ($5$ cards from the same suit) is an excellent hand in poker. Hubert, a client of First Main Street Bank, deposits $1,500,000 into his checking account at First Main Street Bank. The company's times interest earned ratio equals: The times interest earned computation is: A company's income before interest expense and taxes is $250,000 and its interest expense is $100,000. What impact will a Deposit in Transit and an Outstanding Check have on a company's accounting records after a reconciliation is completed? Assuming a 360-day year, the interest charged by the bank, at the rate of 7%, on a 90-day, discounted note payable of $116,274 is. For the month of January of the current year, he earned a total of $8,288. B) Scheduled transactions are a great option to use for Recurring adjusting entry transactions, Which of the following is incorrect regarding the type of tax form related to legal form of, D) Sole Proprietorship Form 1040 Schedule S. Which selection below is FALSE regarding Adjustments? Button will record this transaction with a credit to _________ in the amount of ___________. FICA tax for social security is 6.2% and the FICA tax for Medicare is 1.45%. If the net operating income for the company was $215,000, total overhead costs not assigned to products was $ (1). Customers List, and Products and Services List, It is a payroll tax owed by the business and reported annually on a tax form 940. The status of an individual performing work is very important and determines what tax form, D) An employee receives a paycheck and a form W-2; a contractor receives a vendor, D) Setting up payroll and Processing payroll. Simar guarantees parts and labor for one year after installation. An employee earns gross pay of $720 during the current pay period. a. true b. false, Which of these accounting methods are acceptable under US GAAP? Individual product costs calculated using ABC are not listed on ______ reports. Federal Unemployment Tax is paid by employer. A Sales Receipt records a sales transaction when the customer pays at the time of sale (when the products or services are provided to the customer). The employer's portion of FICA tax remitted to the taxing authority is: John Smith works 40 hours for ABC Corp. for $15 per hour. deposit, refund, expense, etc. Martin Jackson receives an hourly wage rate of $25, with time and a half for all hours worked in excess of 40 hours during a week. ", Costs of assets acquired in one period that will be recorded as expense in a future period are referred to as Thomas Martin receives an hourly wage rate of $22, with time and a half for all hours worked in excess of 40 hours during a week. A) Information in the accounts feeds into lines on the tax return which reduces extra work needed at year end when tax returns are prepared. a. Study with Quizlet and memorize flashcards containing terms like A parent may elect to include a child's income in the parent's return if:, In cash basis accounting, for tax purposes?, In the current year, Johnice started a profitable bookkeeping business as a sole proprietor. $322.00. Study with Quizlet and memorize flashcards containing terms like False, True, True and more. Study with Quizlet and memorize flashcards containing terms like An attacker gained remote access to a user's computer by exploiting a vulnerability in a piece of software on the device. The proper balance sheet presentation on December 31 is. Weighted average b. | Sinclair Oil | $7.0$ | Focusing on activities to eliminate waste, decrease processing time, and reduce defects is the basis of (1)-(2) (3). C. Employee income taxes. ***Instructions*** Study with Quizlet and memorize flashcards containing terms like Adjusting entries ensure that ______ balances are reported at amounts representing the economic benefits that remain at the end of the period., Which of the following would be referred to as "accruals? The Puzzles Division was sold at a loss of$90,000 before income taxes. Which is NOT true regarding the Accounts Payable Aging Report? Study with Quizlet and memorize flashcards containing terms like When a company has a current obligation to make a future payment to their supplier due to a shipment of supplies that were received last week, the company would record this transaction with an increase to an asset account and a(n) _____ account., A liability is a liability due to be paid or settled within one | Net sales | $1,700,000 | Cost of goods sold |$1,100,000 | The journal entry required when the note matures on October 1, 2019 would include a debit to interest expense for. Our payment may consist of cash, check, or credit card. A customer may pay using the following methods in QBO? Study with Quizlet and memorize flashcards containing terms like E, B, C and more. Which is true regarding the collectability of accounts receivable? What is true regarding FUTA? During the first month of operation (July), the business, titled Gary Smith, Professional Corporation (P.C. Which of the following reports can improve internal control by tracking unauthorized changes to accounting records? Select the answer that best describes how to View the Check Register? During the last quarter of 2016, SHMC completed the following selected transactions: In QBO, when customers pay bills via Credit Card the following is true: B) Using QBO's Merchant Account Service you can obtain online authorization and. Which of the following is paid only by the employer? Study with Quizlet and memorize flashcards containing terms like Risk, Rcbond = r* + IP+ DRP + LP + MRP - Answer: 2.8% + 4.57% + 1.95%+ .60% = 9.82%, Higher inflation expectations increase the nominal interest rate demanded by investors. Under the periodic inventory system, what account is credited when a discount is taken on purchased inventory, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Don Herrmann, J. David Spiceland, Wayne Thomas, Intermediate Accounting, Volume 1 (Chapters 1-14) Problem Solving Survival Guide, Accounting for Governmental and Nonprofit Entities. A Weekly Timesheet is used to enter time worked by. Which of the following liabilities could be a multi-period known liability? Setting up payroll and Processing payroll. Requirements Spot Co. purchases office supplies form Sally Supplies, Inc.. Spot does not pay cash for the purchase, and now owes the amount to Sally. Under activity-based costing, nonmanufacturing costs ______. A) It is a payroll tax owed by the business and reported quarterly on form 940. True False, FICA includes partnerships in its definition of employer. Hello, and welcome to Protocol Entertainment, your guide to the business of the gaming and media industries. During the first month of operation (July), the business, titled Gary Smith, Professional Corporation (P.C. B. Study with Quizlet and memorize flashcards containing terms like Geographic dispersion Multiple departments Increased task variation., According to FMLA, during the time that an employee is on family leave:, The Age Discrimination in Employment Act prohibits and more. On July 16, the due date, Sawyer pays the amount due in full. Next, select the type of new transaction and complete the online form. What statement is true regarding a company's bank and credit card in QBO? Is the following covered by FICA tax? When is the Bill onscreen form used to record a vendor transaction in QBO? Spelling will record this with a credit to: Stanley Corporation made bank credit card sales to its customers. B) Tax form 944 is used by very small companies to summarize federal income tax, Social Security, and Medicare withheld from employee paychecks for the year vs. quarterly. (Check all that apply.) The Balance Sheet's updated accounts are needed to prepare the Statement of Cash Flows. Which of the following is required to be withheld from employee's gross pay? C) Select the drop-down arrow by Add Check in the Check Register window, then select the new type of transaction to enter i.e. This transaction is recorded as a(n), Payroll withholdings ______. Learn. FICA is paid by both employee and employer, If a company wants to turn on Time Tracking preferences, go to, Gear icon then choose Account and Settings then choose Advanced, To delete an account in the QBO COA from Navigation Bar, Select Accounting the Select Specific account then drop down arrow by View register then Delete, Select Account and Settings the Advanced, Check Enable account numbers then Check Show account numbers, Save, QBO offers two different ways to enter transaction information. A Sub-. Specific identification c. LUDO d. FIFO Based on history, Boyd determines that warranty repairs are equal to approximately 2% of sales. How much interest will result from this note?, Lyon Co. collected News. In QBO, the Chart of Accounts displays which of the following two? One radio is actually replaced during September. When completing a bank reconciliation, adjustments such as deposits not recorded, bank service fees, and errors in the books, are adjustments that are listed in the: First section, or adjustment to the bank statement balance. Study with Quizlet and memorize flashcards containing terms like On September 1, ABC Company borrowed $50,000 on a 6%, 9-month note payable to XYZ National Bank. In QBO, in the Dashboard select Reports then the All Reports tab has a variety of different selections. The Bills form is used to record which one of the following transactions? Study with Quizlet and memorize flashcards containing terms like The Federal Insurance Contributions Act levies a tax upon the gross earnings of self-employed persons. Its times interest earned ratio is: A company's fixed interest expense is $8,000, its income before interest expense and income taxes is $32,000. A. Which of the following contingent liabilities would require a company to record a note to the financial statements? $$ Study with Quizlet and memorize flashcards containing terms like Which of the following elements influence your view of the financial world? For the month of January of the current year, he earned a total of $8,288. Which two management reports in QBO are useful for planning purposes and assessing future profitability? and more. A _________ is a probable future payment of assets or services that a company is presently obligated to make as a result of past transactions or events. and more. Which of the following is FALSE regarding recurring transactions used for adjustments? The process by which employees are investigated by an insurance company that will insure the business against losses through employee theft or mishandling of funds is called: Preparing a petty cash voucher for each payment, Internal controls related to petty cash include. The ____________ of a note is the amount that the signer of a note agrees to pay back when it matures, not including interest. If Undeposited Funds was selected during Receive Payment, then which of the following is true? This entry would be recorded by Young with a credit to __________ in the amount of _____________. Record the accrued employer payroll taxes and all other employer-paid expenses and the cash payment of all liabilities for July-assume that FICA taxes are identical to those on employees and that SUTA taxes are 5.4% and FUTA taxes are 0.6%. During July, 25 employees qualify for one vacation day each. 940. When a company guarantees the payment of debt owed by a supplier, customer or another company, the guarantor usually discloses the guarantee as ___________ liability. An employer must pay FUTA taxes even if the employer pays SUTA taxes. What is the process to add a new transaction from the Check Register window? (Enter only one word per blank.). Recorded bad debts expense based on the aging of accounts receivable, as follows:$ In activity-based costing, first-stage allocation assigns (1) costs to activity cost pools. Which of the following items would be considered a current liability? Which of the following situations is not a contingent liability? A company purchases inventory or supplies and promises to pay within 30 to 45 days. Claudia Bienias Gilbertson, Debra Gentene, Mark W Lehman, Fundamentals of Financial Management, Concise Edition, Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield. When making journal entries, accountants generally list Debits before Credits, however, QBO may not always list Debits before Credits in Journal entries. Study with Quizlet and memorize flashcards containing terms like Promissory note, contra cost of goods sold, Credit to notes payable for $5,000 Debit to equipment for $5,000 and more. Study with Quizlet and memorize flashcards containing terms like A parent may elect to include a child's income in the parent's return if:, In cash basis accounting, for tax purposes?, In the current year, Johnice started a profitable bookkeeping business as a sole proprietor. Which of the following statements is NOT true regarding these three classifications? According to the Fisher effect, how does an increase in the inflation rate affect the real interest rate and the nominal interest rate ? A. January 22, purchased, an asset, merchandise inventory on account for $2,800. It is estimated that 2% of all computers sold will be returned under the warranty at an average cost of $150 each. b. employee investments in retirement plans. An adjustment may be needed to record the amount of the prepaid item that has not expired at the end of the accounting period. 1. Advertise with us. Careers. Assume that all appropriate adjusting journal entries were made at 12/31. Specific identification c. LUDO d. FIFO (Enter only one word per blank.). Guarantee Company signs a $150,000, 8%, 9-month, interest-bearing note. This Friday, were taking a look at Microsoft and Sonys increasingly bitter feud over Call of Duty and whether U.K. regulators are leaning toward torpedoing the Activision Blizzard deal. In QBO, how are the Open Purchase Orders report and the Physical Inventory Worksheet different? An employee receives an hourly rate of $15, with time and a half for all hours worked in excess of 40 during the week. State unemployment taxes imposed on employers in order to provide unemployment benefits to qualified workers are known as. Which costing system does not assign selling and administrative costs to products when computing product margin? b. contributions to retirement and other savings accounts. How much you believe you control your financial future. I. Which of the following is false regarding recurring transactions in QBO? Based on history, Victor anticipates that 3% of vacuums will be returned at a cost of $30 per vacuum. What is the net amount to be paid to Jackson? a. Payroll data for the first week of the calendar year are as follows: hours worked, 42; federal income tax withheld, $139; Social security tax rate, 6%; and Medicare tax rate, 1.5%; state unemployment tax, 5.4% on the first $7,000; federal unemployment tax, 0.8% on the first $7,000. Use the key terms from to complete the following sentence: III. Study with Quizlet and memorize flashcards containing terms like Chapter 7, All of the following statements regarding the definition of basis other than cost are true except:, In 2015, Grant purchased land for $103,000 for use in his business. Which of the following will have no effect on an employee's take-home pay? Their average daily wage is $100 per day. \hline \text{Accounts Receivable} & \$143,000 \\ B) It is challenging to use recurring transactions for adjustments since most adjustment amounts need to change every month. How much interest will result from this note?, Lyon Co. collected State unemployment taxes imposed on employers in order to provide unemployment benefits to qualified workers are known as __________. What type, A collection of products or services that are sold together as a bundle. The Federal Insurance Contributions Act provides retirement, disability, survivorship, and medical benefits to qualified workers. Laws require employers to withhold __________ taxes from employees' pay to cover costs of the system. C) Adjusting entries are dated the first day of the accounting period. The attacker sent data that was able to manipulate the return address that is reserved to store expected data. In QBO, the process for updating the Vendors List While entering transactions is: A) Use the Create (+) icon to find the appropriate onscreen form. Usually, traditional costing ______ high-volume products and ______ low-volume products. Complete the following table to reflect any deposit, refund, expense, etc. Keys Co. is located in Florida. In Exercises $39$ through $42$, find the volume of the solid generated when the region under the given carve $y=f(x)$ over the specified region $a \leq x \leq b$ is rotated about the $x$ axis. Study with Quizlet and memorize flashcards containing terms like Risk, Rcbond = r* + IP+ DRP + LP + MRP - Answer: 2.8% + 4.57% + 1.95%+ .60% = 9.82%, Higher inflation expectations increase the nominal interest rate demanded by investors. Spelling Company uses a perpetual inventory system. we can make debit and credit entries to enter transactions using an onscreen Journal. A Trial Balance is also referred to as an unadjusted Trial Balance because it is prepared before adjustments. When required, round your answer to the nearest dollar. Payroll taxes expense take all taxes. Complete the following table to reflect any What is the adjusting entry for the accrued interest at December 31 on the note? Information in the accounts feeds into lines on the tax return which reduces extra work. Home. What is this employee's net pay for the current pay period? During the month, Victor sold 100 vacuums for a total of $35,000. Entries to record receipts pf cash from additional owner investments are usually recorded in cash receipts journal under the column heading: Identify all the items tha would be recorded in a cash account. If Coca-Cola's sales had grown from 1939 to 1945 at the same rate that they grew between 1934 and 1939, its sales in 1945 would have been approximately ___ cases. The Bill form is used to record vendor transactions that we pay later. An analysis of payments from the fund showed these totals: Supplies, $50; and Delivery Expense, $100. EUPOL COPPS (the EU Coordinating Office for Palestinian Police Support), mainly through these two sections, assists the Palestinian Authority in building its institutions, for a future Palestinian state, focused on security and justice sector reforms. | Gulf States Toyota | $8.0$ | Select all that apply. For students. The journal entry to record wages paid includes a ______. How does the Fed control the money supply in the United? Your analysis reveals the following additional information that is not included in the above data. Identify the advantages of using a cash receipts journal: Identify which of the following accounts are recorded in a cash receipts journal: A company's register displays the transaction totals for the day, which include cash sales of $500 and sales tax of $50. Wilson Cafeteria issues gift cards, which are very popular in the small town where the restaurant is located. ), it results in a more stable unit product cost. The ____ ________ journal is a special journal used to record transactions involving the payments of cash. The amount of the employee bonus expense is estimated to be. When completing a bank reconciliation, adjustments such as deposits in transit, outstanding checks, and bank errors, are adjustments that are listed in the: Items found on the second section of the bank reconciliation, or adjustments to the book balance include: A special-purpose cash fund used to handle payments involving small amounts of money is called a, Cash, accounts receivable, sales, and sales tax payable are commonly found on which special journal, a document that records the verification that the amount of currency and coins in a cash register agrees with amount shown on the cash register audit tape is called a. If a customer pays in. The journal entry to record the conversion of a $6,300 accounts payable to a note payable would be. Payroll taxes expense take all taxes. for bills that have been entered using the Bill forms. Trial Balance is a listing of all of a company's accounts and the ending account. Get the app. Spelling will record this with a debit to: Landin Company purchases merchandise with a list price of $6,000 and a trade discount of 25%. Third party agents BEACON application. Study with Quizlet and memorize flashcards containing terms like Risk, Rcbond = r* + IP+ DRP + LP + MRP - Answer: 2.8% + 4.57% + 1.95%+ .60% = 9.82%, Higher inflation expectations increase the nominal interest rate demanded by investors. Which of the following activities, and the QBO form used to record it, is incorrect? EUPOL COPPS (the EU Coordinating Office for Palestinian Police Support), mainly through these two sections, assists the Palestinian Authority in building its institutions, for a future Palestinian state, focused on security and justice sector reforms. Gross pay minus all deductions-including federal and state taxes, FICA and any voluntary deductions equals __________ pay. Prepaid items are items that are paid in advance, such as prepaid-insurance or prepaid rent. The FICA tax rate for social security is 6.2% and the FICA tax rate for Medicare is 1.45%. | Drummond | $2.4$ | Prepare an Adjusted Trial Balance (a Trial. Given no previous adjusting entries have been recorded, ABC's adjusting entry at December 31 would include a ______. Which of the following situations would not be required to be recorded in the financial statements or reported as a note to the financial statements? Niwa Co. replaced a $3,000 account payable balance to Fiona Co. with a 60-day, $3,000 note bearing 5% annual interest. (Enter only one word per blank.). A. Study with Quizlet and memorize flashcards containing terms like E, B, C and more. B. Advantages of using a cash payments journal include: Lakewood Corporation accepted a return of goods from their customer, Landin Company. Suppliers from whom we buy inventory or supplies, Befere entering transactions, we can update the Vendors List from the, Update vendors list while entering transactions, we can update the Vendors List from the screen where we enter the transaction. 4. The note requires annual payments consisting of principal and interest of $15,179, beginning on December 31 of the current year. What level of activity is performed each time an item of a product is produced? Proper payroll accounting methods are important for a business for all the reasons below except, to help a business with cash flow problems by delayed payments of payroll taxes to federal and state agencies, Taylor Bank lends Guarantee Company $112,976 on January 1. Study with Quizlet and memorize flashcards containing terms like On September 1, ABC Company borrowed $50,000 on a 6%, 9-month note payable to XYZ National Bank. (Enter only one word per blank. When a purchase is made recorded as a bill, QBO records a: The form used to order and track products from vendors, The onscreen form used to record products and services that we pay for at the time we receive the product or service with cash, credit card, or check, The form used when a vendor gives us a refund or reduction in our bill in what we owe the vendor, This form can be used when we pay for products and services at the time of purchase, but cannot be used when we pay with cash or credit card, A form used to record a reduction in charges by the vendor to our credit card, The onscreen form used to record bills we received and our obligation to pay the vendor later (Accounts payable). The journal entry required at December 31, 2018 would include which of the following? B. The income tax rate on all items is 25%. | Company | Revenue (in billions) | An example of a transaction driver is the ______. B. Medicare taxes. Assuming a 360-day year, the cash proceeds to Chang Co. are, Thomas Martin Study with Quizlet and memorize flashcards containing terms like When a company has a current obligation to make a future payment to their supplier due to a shipment of supplies that were received last week, the company would record this transaction with an increase to an asset account and a(n) _____ account., A liability is a liability due to be paid or settled within one $$ What is the total amount of taxes withheld from the Phoenix's earnings? Johnice made $38,000 in her first year of operation. Assuming a 360-day year, the cash proceeds to Chang Co. are, Thomas Martin a. true b. false, Which of these accounting methods are acceptable under US GAAP? What is difference between the Chart of Accounts and Recurring Transactions? Which of the following payroll-related taxes must the employer pay by law? (Enter only one per blank. A company purchases $5,000 of equipment by signing a twelve-month not payable with an interest rate of 5%. Study with Quizlet and memorize flashcards containing terms like E, B, C and more. On March 1, the due date, Avers pays the amount due in full. Which of the following is FALSE, A) It is challenging to use recurring transactions for adjustments since most adjustment, 4 types of adjusting entries may be necessary to Accrual Basis of Accounting to calculate profits, To delete an.account in the QBO COA, from the Navigation Bar, select, Unearned items consist of revenue that we have not earned. Open Purchase Orders represent purchase orders for items ordered but not yet received. D. Unemployment taxes. Flashcards. D) By customizing the QBO COA to align with the business tax return, countless hours are saved in preparation time, and tax returns are more accurate. What is FALSE regarding the adjusted trial balance? The difference between the amount paid back to National Bank of $101,500 and the amount borrowed of $100,000 (or $1,500) represents _______________ expense. Journalize the transactions. At maturity, assuming a 360-day year, the borrower will pay, Assuming a 360-day year, when a $20,000, 90-day, 5% interest-bearing note payable matures, total payment will be, Chang Co. issued a $59,067, 120-day, discounted note to Guarantee Bank. Dec. 28. Lee Company has the following information for the pay period of December 15-31: The journal entry used to record the issuance of a discounted note for the purpose of borrowing funds for the business is, debit Cash and Interest Expense; credit Notes Payable, Taylor Bank lends Guarantee Company $150,000 on January 1. What is a 1099 and when does my company need to prepare 1099s? Which of the following is NOT a choice available to a LLC for how it wishes to be treated for tax purposes? Nevertheless, hundreds of large and thousands of small companies remain privately owned. Find the product. Errors (bank errors of company errors). A written promise to pay a specified amount on a stated future date within one year or the company's operating cycle, whichever is longer, is considered a ______________. The entire Puzzles Division was discontinued on August 31. Assuming a 360-day year, the cash proceeds to Chang Co. are, due and to be paid out of current assets within one year, A pension plan that requires the employer to make annual pension contributions, with no promise to employees regarding future pension payments, is termed, The journal entry a company uses to record fully funded pension rights for its salaried employees at the end of the year is, On January 5, Thomas Company, a calendar-year company, issued $1,000,000 of notes payable, of which $250,000 is due on January 1 each of the next four years. No formal agreement is signed. Which of the following is not essential for the successful implementation of an ABC system? Is the following covered by FICA tax? On November 1, 2018, ABC Corp. borrowed $100,000 cash on a 1-year, 6% note payable that requires ABC to pay both principal and interest on October 31, 2019. C) To provide information to users for decision making. The balance in the Estimated Warranty Liability account at November 1 was $29,000. This transaction will be recorded by Jones Company with a debit to which account(s), A company makes a $100 payments to a supplier on accounts; this transaction will be recorded with a debit to the accounts payable account, A special journal used yo record and post transactions involving the receipt of cash is called a, the person or firm to whom a check is payable, a financial instrument whose ownership can be transferred to another person or business, A written order instruction a bank to pay a specific sum of money to a designated party, common reason why the bank statement balance does not agree with the book balance. Weighted average b. What is this employee's net pay for the current pay period? About Quizlet. How Do We Improve Internal Control Over Inventory? $\$ 105.59 \times 35$ At the end of the month, Victor will record _______ in Warranty Expense. y=\sqrt{\sin x} ; 0 \leqq x \leqq \pi Anderson Co. issued a $50,000, 60-day, discounted note to National Bank. Create (or + icon), Search icon, Gear Icon. Which vulnerability exploit resulted from the attacker's actions?, By What is the net amount to be paid to Jackson? Both unemployment taxes are applied to the first $7,000 of an employee's pay. What is the amount and type of gain on this sale, before netting of any other gains and/or losses? E. Employee deductions. It is estimated that warranty repairs will average $10 per unit sold, and 30% of the repairs will be made in Year 1 and 70% in Year 2 for the Year 1 sales. Boyd's Bicycles Sales and Repairs Co. offers a 6-month warranty on all new bicycle purchases. Display more detailed information about accounts, Resources that we own that have future benefit such as cash, bank accounts, equipment and A/R, Income accounts for a company are used to track, Sales to customers and other revenue earned, the prices charged customers for products and services provided, Sales or revenues, Fees earned, Interest income, Rental income, Gains on sale of assets, costs of providing products and services to customers, Three different options for accessing how to enter transactions, 3 Activities in the Statement of Cash Flows, Customer Reports, Vendor Reports, Inventory Reports, Transaction Journal, Audit Log, such as Customer Profitability and Accounts Receivable Aging, such as Open Purchase Orders and Accounts Payable Aging, such as Sales by Product/Services Summary and Physical Inventory Worksheet, Owner Contributions, Owner Distributions, Retained Earnings, Interest Earned and Other Ordinary Income, Corrections, or correcting entries, fix mistakes in the accounting system. Assuming a 360-day year, what is the maturity value of the note? True False, In its definition of employee, FICA clearly distinguishes between classes or grades of employees. Medicare, and FUTA tax purposes. Johnice made $38,000 in her first year of operation. (Select all that apply. Amounts withheld from an employee's gross pay are called: Jorge Lopez worked 40 hours this week and earned $1,000 in total compensation. These taxes are known as: Employee ____________ are perks that are provided in addition to salaries and wages, such as all or part of medical, dental, life and disability insurance. The discount rate is 6%. When a purchase is made, accounts payable is increased with a credit and when the bill is. This is effected under Palestinian ownership and in accordance with the best European and international standards. Accounts Payable reports provide information to track amounts. Experience indicates that 80 percent of the cards will be redeemed before they expire. Federal Income Taxes are paid by employee. \begin{array}{lcccc} The journal entry used to record the payment of a discounted note is, The journal entry a company uses to record the estimated product warranty liability expense is, debit Product Warranty Expense; credit Product Warranty Payable. In QBO, users can save adjusting entries as recurring transactions. What is total amount of the notes that will be reported as current liabilities on its balance sheet? 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