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Category > Accounting Posted 23 Aug 2017 My Price 9.00

Glenview Hardware

Exercise 8-35 RECORDING VARIOUS LIABILITIES

Glenview Hardware had the following transactions that produced liabilities  during 2009:

a.      Purchased merchandise on credit for $20,000.

b.     Year-end wages of $7,600 incurred, but not paid. Related federal income tax   of

$1,200, Medicare tax of $280, and state income tax of $195 are withheld.

c.      Year-end estimated income taxes payable, but unpaid, for the year in the amount of

$21,300.

d.     Sold merchandise on account for $872, including sales tax of $32.

e.      Employer’s share of Social Security tax for the period was $1,154.

f.      Borrowed cash under a 90-day, 9 percent, $9,000 interest-bearing note.

 

Required:

Prepare the entry to record each of these transactions (treat each transaction independ- ently).

Answers

Maurice Tutor
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Status NEW Posted 23 Aug 2017 11:08 PM My Price 9.00

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