financeDuring December, Desimone Auction Co. completed the following transactions:
$$
\begin{matrix}
\text{Dec 1 } & \text{Desimone received \$23,000 cash and issued common stock to the stockholders. }\\
\text{5} & \text{Paid monthly rent, \$1,900. }\\
\text{9} & \text{Paid \$7,000 cash and signed a \$28,000 note payable to purchase land for an office site. }\\
\text{10} & \text{Purchased supplies on account, \$1,100.}\\
\text{19} & \text{Paid \$700 on account.}\\
\text{22} & \text{Borrowed \$19,000 from the bank for business use. Desimone signed a note payable to the bank in the name of the business. }\\
\text{31} & \text{Service revenue earned during the month included \$14,000 cash and \$6,000 on account. }\\
\text{31} & \text{Paid employees’ salaries (\$2,500), advertising expense (\$1,300), and utilities expense (\$1,700). }\\
\text{31} & \text{Declared and paid a cash dividend of \$2,500.}\\
\end{matrix}
$$
Desimone’s business uses the following accounts: Cash, Accounts Receivable, Supplies, Land, Accounts Payable, Notes Payable, Common Stock, Dividends, Service Revenue, Salary Expense, Rent Expense, Advertising Expense, and Utilities Expense. Journalize each transaction of Desimone Auction Co. Explanations are not required. Post to these T-accounts: Cash, Accounts Payable, and Notes Payable. After these transactions, how much cash does the business have? How much in total liabilities does it owe? financeDuring January, Luxury Cruise Lines incurs employee salaries of $3 million. Withholdings in January are$229,500 for the employee portion of FICA, $450,000 for federal income tax,$187,500 for state income tax, and $30,000 for the employee portion of health insurance (payable to Blue Cross Blue Shield). The company incurs an additional$186,000 for federal and state unemployment tax and $90,000 for the employer portion of health insurance. 1. Record the employee salary expense, withholdings, and salaries payable. 2. Record the employer-provided fringe benefits. 3. Record the employer payroll taxes. 15th Edition•ISBN: 9780073401805 (3 more)Douglas A. Lind, Samuel A. Wathen, William G. Marchal1,236 solutions
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