Question 1

An unfunded pension liability is reported on the balance sheet as

Accepted Answer

A) current liability 
B) owner's equity 
C) long-term liability 
D) current liability or long-term liability,depending upon when the pension liability is to be paid 
A) current liability 
B) owner's equity 
C) long-term liability 
D) current liability or long-term liability,depending upon when the pension liability is to be paid

Question 2

The employee earnings record would contain which column that the payroll register would probably not contain?

Accepted Answer

A) deductions 
B) payment 
C) earnings 
D) cumulative earnings 
A) deductions 
B) payment 
C) earnings 
D) cumulative earnings

Question 3

Most employers are levied a tax on payrolls for

Accepted Answer

A) sales tax 
B) medical insurance premiums 
C) federal unemployment compensation tax 
D) union dues 
A) sales tax 
B) medical insurance premiums 
C) federal unemployment compensation tax 
D) union dues

Question 4

On June 8,Alton Co.issued an $80,000,6%,120-day note payable on an overdue account payable to Seller Co.Assume that the fiscal year of Alton Co.ends June 30.Which of the following relationships is true?

Accepted Answer

A) Alton is the creditor and credits Accounts Receivable 
B) Seller is the creditor and debits Accounts Receivable 
C) Seller is the borrower and credits Accounts Payable 
D) Alton is the borrower and debits Accounts Payable 
A) Alton is the creditor and credits Accounts Receivable 
B) Seller is the creditor and debits Accounts Receivable 
C) Seller is the borrower and credits Accounts Payable 
D) Alton is the borrower and debits Accounts Payable

Question 5

The Core Company had the following assets and liabilities as of December 31,2012:
   
Calculate: Current Ratio,Working Capital and Quick Ratio

Accepted Answer

Current Ratio: ($58,000 + $25,

Question 6

An employee earns $40 per hour and 1.5 times that rate for all hours in excess of 40 hours per week.Assume that the employee worked 60 hours during the week,and that the gross pay prior to the current week totaled $58,000.Assume further that the social security tax rate was 7.0% (on earnings up to $100,000),the Medicare tax rate was 1.5%,and the federal income tax to be withheld was $614.
Required:
(1)Determine the gross pay for the week.
(2)Determine the net pay for the week.

Accepted Answer

The answer of An employee earns $40 per hour and...

Question 7

Florida Keys Construction installs swimming pools.They calculate that warranty obligations are 3% of gross sales.For the year just ending Florida Keys' gross sales were $1,450,000.Due to previous quarter recognitions,the Warranty Liability account has a credit balance of $28,700.Determine the year's total warranty liability and journalize any necessary value to establish the year's liability at December 31st.

Accepted Answer

Due to sales,$1,450,000,warran

Question 8

Payroll taxes only include social security taxes and federal unemployment and state unemployment taxes.

Accepted Answer

A) True 
 B)False

Question 9

The journal entry a company uses to record the issuance of an interest-bearing note for the purpose of borrowing funds for the business is

Accepted Answer

A) debit Accounts Payable;credit Notes Payable 
B) debit Cash;credit Notes Payable 
C) debit Notes Payable;credit Cash 
D) debit Cash and Interest Expense;credit Notes Payable 
A) debit Accounts Payable;credit Notes Payable 
B) debit Cash;credit Notes Payable 
C) debit Notes Payable;credit Cash 
D) debit Cash and Interest Expense;credit Notes Payable

Question 10

The journal entry to record the conversion of an $4,700 accounts payable to a notes payable would be:

Accepted Answer

A) Cash 4,700 Notes Payable 4,700 
B) Notes Receivable 4,700 Notes Payable 4,700 
C) Notes Payable 4,700 Cash 4,700 
D) Accounts Payable 4,700 Notes Payable 4,700 
A) Cash 4,700 Notes Payable 4,700 
B) Notes Receivable 4,700 Notes Payable 4,700 
C) Notes Payable 4,700 Cash 4,700 
D) Accounts Payable 4,700 Notes Payable 4,700

Question 11

Amounts withheld from each employee for Social Security and Medicare varies by state.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following would be used to compute the federal income taxes to be withheld from an employee's earnings?

Accepted Answer

A) FICA tax rate 
B) wage and tax statement 
C) FUTA tax rate 
D) wage bracket and withholding table 
A) FICA tax rate 
B) wage and tax statement 
C) FUTA tax rate 
D) wage bracket and withholding table

Question 13

A borrower has two alternatives for a loan: (a)issue a $480,000,60-day,8% note or (2)issue a $480,000,60-day note that the creditor discounts at 8%.(Assume a 360-day year is used for interest calculations. )
Required:

Accepted Answer

The answer of A borrower has two alternatives for a...

Question 14

Depending upon when an unfunded pension liability is to be paid,it will be classified on the balance sheet as either a long-term or a current liability.

Accepted Answer

A) True 
 B)False

Question 15

On June 8,Alton Co.issued an $90,000,6%,120-day note payable to Seller Co.Assuming a 360-day year for your calculations,what is the maturity value of the note?

Accepted Answer

A) $90,450 
B) $90,000 
C) $91,800 
D) $95,400 
A) $90,450 
B) $90,000 
C) $91,800 
D) $95,400

Question 16

The payroll register of Seaside Architecture Company indicates $870 of Social Security and $217 of Medicare tax withheld on total salaries of $14,500 for the period.Assume earnings subject to state and federal unemployment compensation taxes are $5,250.at the federal rate of 0.8% and state rate of 5.4%.Provide the journal entry to record the payroll tax expense for the period.

Accepted Answer

The answer of The payroll register of Seaside Architecture Company...

Question 17

An employee's take home pay is equal to gross pay less all voluntary deductions.

Accepted Answer

A) True 
 B)False

Question 18

List five internal controls that relate directly to payroll.

Accepted Answer

All of the cash payment controls.
Proper

Question 19

Current liabilities are

Accepted Answer

A) due,but not receivable for more than one year 
B) due,but not payable for more than one year 
C) due and receivable within one year 
D) due and payable within one year 
A) due,but not receivable for more than one year 
B) due,but not payable for more than one year 
C) due and receivable within one year 
D) due and payable within one year

Question 20

Assuming a 360-day year,when a $40,000,90-day,9% interest-bearing note payable matures,total payment will amount to:

Accepted Answer

A) $40,900 
B) $43,600 
C) $900 
D) $3,600 
A) $40,900 
B) $43,600 
C) $900 
D) $3,600

An unfunded pension liability is reported on the balance sheet as

The employee earnings record would contain which column that the payroll register would probably not contain?

Most employers are levied a tax on payrolls for

On June 8,Alton Co.issued an $80,000,6%,120-day note payable on an overdue account payable to Seller Co.Assume that the fiscal year of Alton Co.ends June 30.Which of the following relationships is true?

The Core Company had the following assets and liabilities as of December 31,2012: Calculate: Current Ratio,Working Capital and Quick Ratio

Payroll taxes only include social security taxes and federal unemployment and state unemployment taxes.

The journal entry a company uses to record the issuance of an interest-bearing note for the purpose of borrowing funds for the business is

The journal entry to record the conversion of an $4,700 accounts payable to a notes payable would be:

Amounts withheld from each employee for Social Security and Medicare varies by state.

Which of the following would be used to compute the federal income taxes to be withheld from an employee's earnings?

A borrower has two alternatives for a loan: (a)issue a $480,000,60-day,8% note or (2)issue a $480,000,60-day note that the creditor discounts at 8%.(Assume a 360-day year is used for interest calculations. ) Required:

Depending upon when an unfunded pension liability is to be paid,it will be classified on the balance sheet as either a long-term or a current liability.

On June 8,Alton Co.issued an $90,000,6%,120-day note payable to Seller Co.Assuming a 360-day year for your calculations,what is the maturity value of the note?

An employee's take home pay is equal to gross pay less all voluntary deductions.

List five internal controls that relate directly to payroll.

Current liabilities are

Assuming a 360-day year,when a $40,000,90-day,9% interest-bearing note payable matures,total payment will amount to:

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Inventories

Sarbanes-Oxley, internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

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Exam 10: Current Liabilities and Payroll

An unfunded pension liability is reported on the balance sheet as

The employee earnings record would contain which column that the payroll register would probably not contain?

Most employers are levied a tax on payrolls for

On June 8,Alton Co.issued an $80,000,6%,120-day note payable on an overdue account payable to Seller Co.Assume that the fiscal year of Alton Co.ends June 30.Which of the following relationships is true?

The Core Company had the following assets and liabilities as of December 31,2012: Calculate: Current Ratio,Working Capital and Quick Ratio

Payroll taxes only include social security taxes and federal unemployment and state unemployment taxes.

The journal entry a company uses to record the issuance of an interest-bearing note for the purpose of borrowing funds for the business is

The journal entry to record the conversion of an $4,700 accounts payable to a notes payable would be:

Amounts withheld from each employee for Social Security and Medicare varies by state.

Which of the following would be used to compute the federal income taxes to be withheld from an employee's earnings?

A borrower has two alternatives for a loan: (a)issue a $480,000,60-day,8% note or (2)issue a $480,000,60-day note that the creditor discounts at 8%.(Assume a 360-day year is used for interest calculations. ) Required:

Depending upon when an unfunded pension liability is to be paid,it will be classified on the balance sheet as either a long-term or a current liability.

On June 8,Alton Co.issued an $90,000,6%,120-day note payable to Seller Co.Assuming a 360-day year for your calculations,what is the maturity value of the note?

An employee's take home pay is equal to gross pay less all voluntary deductions.

List five internal controls that relate directly to payroll.

Current liabilities are

Assuming a 360-day year,when a $40,000,90-day,9% interest-bearing note payable matures,total payment will amount to:

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Inventories

Sarbanes-Oxley, internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

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