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Question
A company's payroll information for the month of May follows:| Administrative salaries | $4,000 |
| Sales salaries | 5,500 |
| FICA-Social Security taxes withheld | 589 |
| FICA-Medicare taxes withheld | 138 |
| Federal income taxes withheld | 1,300 |
| Medical insurance premiums withheld | 415 |
| Union dues withheld | 205 |
On May 31 the company issued Check No. 4625 payable to the Payroll Bank Account to pay for the May payroll. It issued payroll checks to the employees after depositing the check.
(1) Prepare the journal entry to record (accrue) the employer's payroll for May. (2) Prepare the journal entry to record payment of the May payroll. The federal and state unemployment tax rates are 0.6% and 5.4%, respectively, on the first $7,000 paid to each employee. The wages and salaries subject to these taxes were $6,000. (3) Prepare the journal entry to record the employer's payroll taxes.
Answer
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Direct labor X X
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Variable manufacturing overhead
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Direct materials
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Match the following
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Q:
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Q:
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Given the Cool Pools Company data, what is net income using absorption costing?
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D. $177,600
E. $276,250
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E. $16,220,000