The totals of the payroll register for Kits & Pups Grooming are shown in your working papers. On December 31 the owner, Abe Shultz, wrote Check 1400 to pay the payroll. In your working papers: 1. Record the payroll entry in the general journal. 2. Post the entry to the general ledger accounts.

Showbiz Video completed the following payroll transactions during the first two weeks of December. Showbiz Video pays its employees on a biweekly basis (every two weeks). In your working papers: 1. Record the December 13 transactions on page 38 in the general journal. 2. Post both payroll entries to the appropriate general ledger accounts. 3. Journalize and post the December 16 transactions. $$ \begin{array}{rl} \text{Date} & \text{Transactions}\\ \text{Dec. 13} & \text{Wrote Check 2206 to pay the payroll of \$3,840.58 (gross}\\ \text{ } & \text{earnings) for the pay period ending December 13. The}\\ \text{ } & \text{following amounts were withheld: FICA taxes, \$238.12 for}\\ \text{ } & \text{social security and \$55.69 for Medicare; employees’ federal}\\ \text{ } & \text{income taxes, \$639.00; employees’ state income taxes, \$96.02;}\\ \text{ } & \text{insurance premium, \$21.00; U.S. savings bonds, \$20.00.}\\ \text{13} & \text{Recorded the employer’s payroll taxes (FICA tax rates, 6.2\\% for}\\ \text{ } & \text{social security and 1.45\\% for Medicare; federal unemployment}\\ \text{ } & \text{tax rate, 0.8%; state unemployment tax rate, 5.4%). No}\\ \text{ } & \text{employee has reached the maximum taxable amount.}\\ \text{16} & \text{Paid the amounts owed to the federal government for }\\ \text{ } & \text{employees’ federal income taxes and FICA taxes, Check 2215. }\\ \text{16} & \text{Purchased U.S. savings bonds for employees for \$100.00, }\\ \text{ } & \text{Check 2216. }\\ \text{16} & \text{Paid \$148.00 to American Insurance Company for employees’}\\ \text{ } & \text{insurance, Check 2217.}\\ \end{array} $$ Identify the payroll accounts that have a balance after entries have been posted.

Abe Shultz owns Kits & Pups Grooming and uses the following accounts: $$ \begin{matrix} \text{General Ledger} & \text{ }\\ \hline \text{101 Cash in Bank} & \text{205 Accounts Payable—}\\ \text{115 Accounts Receivable—} & \text{Dogs & Cats Inc.}\\ \text{Martha Giles} & \text{301 Abe Shultz, Capital}\\ \text{125 Office Equipment} & \text{ }\\ \text{130 Office Furniture} & \text{ }\\ \text{140 Grooming Equipment} & \text{ }\\ \end{matrix} $$ For each transaction: 1. In your working papers, prepare a T account for each account listed. 2. Using the appropriate T accounts, analyze and record each of the following business transactions. Identify each transaction by number. 3. After recording all transactions, write the word Balance on the normal balance side of each T account. Then compute and record the balance for each account. $$ \begin{array}{rl} \text{Date} & \text{Transactions}\\ \hline \text{May 1} & \text{1. Abe Shultz invested an additional $\$45,000$ cash in his business.}\\ \text{5} & \text{2. Bought grooming equipment on account from Dogs & Cats Inc. for $\$8,500$.}\\ \text{10} & \text{3. Purchased an office lamp for $\$85$, Check 150.}\\ \text{14} & \text{4. Abe Shultz transferred his personal typewriter, worth $\$200$, to the business.}\\ \text{19} & \text{5. Made a $\$3,000$ payment on the grooming equipment bought on account, Check 151.}\\ \text{22} & \text{6. Sold the typewriter on account to Martha Giles for $\$200$.}\\ \text{29} & \text{7. Bought a photocopier for $\$1,500$, Check 152.}\\ \text{31} & \text{8.Received a $\$100$ payment for the typewriter sold on account.}\\ \end{array} $$

The general ledger accounts and balances for Kits & Pups Grooming follow. $$ \begin{array}{ll} \mathbf{\text{General Ledger}} & \text{ }\\ \text{101 Cash in Bank} & \text{$\$ 4,296$}\\ \text{105 Accts. Rec. - Juan Alvarez} & \text{$1,528$}\\ \text{110 Accts. Rec. - Nathan Carlsbad} & \text{904}\\ \text{115 Accts. Rec. - Martha Giles} & \text{$1,219$}\\ \text{120 Grooming Supplies} & \text{$1,368$}\\ \text{125 Office Equipment} & \text{$8,467$}\\ \text{130 Office Furniture} & \text{$3,396$}\\ \text{135 Computer Equipment} & \text{$2,730$}\\ \text{140 Grooming Equipment} & \text{$1,974$}\\ \text{145 Kennel Equipment} & \text{$7,412$}\\ \text{201 Accts. Pay. - Able Store Equipment} & \text{$3,876$}\\ \text{205 Accts. Pay. - Dogs & - Cats Inc.} & \text{$2,746$}\\ \text{207 Accts. Pay. - Pet Gourmet} & \text{$1,281$}\\ \text{301 Abe Shultz, Capital} & \text{$30,928$}\\ \text{305 Abe Shultz, Withdrawals} & \text{$1,900$}\\ \text{310 Income Summary} & \text{\_\_\_}\\ \text{401 Boarding Revenue} & \text{$11,989$}\\ \text{405 Grooming Revenue} & \text{$4,420$}\\ \text{501 Advertising Expense} & \text{$3,934$}\\ \text{505 Equipment Repair Expense} & \text{943}\\ \text{510 Maintenance Expense} & \text{$2,483$}\\ \text{520 Rent Expense} & \text{$8,850$}\\ \text{530 Utilities Expense} & \text{$3,836$}\\ \end{array} $$ 1. Prepare a work sheet for the month ended September 30, 20--. 2. Prepare an income statement for the period. 3. Prepare a statement of changes in owner’s equity. Abe Shultz made an additional investment of $2,500 during the period. 4. Prepare a balance sheet in report form.

Abe Shultz owns and operates a pet grooming business called Kits & Pups Grooming. The following accounts are used to journalize transactions. $$ \begin{matrix} \text{General Ledger} & \text{ }\\ \hline \text{101 Cash in Bank} & \text{207 Accts. Pay.—Pet Gourmet}\\ \text{105 Accts. Rec.—Juan Alvarez} & \text{301 Abe Shultz, Capital}\\ \text{110 Accts. Rec.—N. Carlsbad} & \text{305 Abe Shultz, Withdrawals}\\ \text{115 Accts. Rec.—Martha Giles} & \text{310 Income Summary}\\ \text{125 Office Equipment} & \text{401 Boarding Revenue}\\ \text{130 Office Furniture} & \text{405 Grooming Revenue}\\ \text{135 Computer Equipment} & \text{501 Advertising Expense}\\ \text{140 Grooming Equipment} & \text{505 Equipment Repair Expense}\\ \text{145 Kennel Equipment} & \text{510 Maintenance Expense}\\ \text{201 Accts. Pay.—Able Store} & \text{520 Rent Expense}\\ \text{Equipment} & \text{525 Salaries Expense}\\ \text{205 Accts. Pay.—Dogs &} & \text{530 Utilities Expense}\\ \text{Cats Inc.} & \text{ }\\ \end{matrix} $$ Record the following transactions on page 7 of the general journal in your working papers. $$ \begin{array}{rl} \text{Date} & \text{Transactions}\\ \hline \text{Jan. 1} & \text{Received $\$ 125$ for boarding a client's dog for one week, Receipt 300.}\\ \text{3} & \text{Abe Shultz contributed to the business a computer valued at $\$ 2,500,$ Memorandum 33. }\\ \text{5} & \text{Billed a client, Juan Alvarez, $\$ 80$ for grooming his pets, Sales Invoice 212. }\\ \text{9} & \text{Wrote Check 411 to Allegheny Power Co. for $\$ 150$ in payment for the month's electricity bill.}\\ \text{11} & \text{Abe Shultz withdrew $\$ 700$ for personal use, Check 412.}\\ \text{14} & \text{Purchased kennel equipment for $\$ 2,600$ from Dogs $\&$ Cats Inc., on account, Invoice DC92.}\\ \text{16} & \text{Paid the part-time receptionist's salary of $\$ 400$ by issuing Check 413.}\\ \text{18} & \text{Abe Shultz took from the business for his personal use a ten-key adding machine valued at $\$ 65,$ Memorandum 34.}\\ \text{23} & \text{Juan Alvarez sent a check for $\$ 80$ in full payment of his account, Receipt 301.}\\ \text{28} & \text{Purchased on credit $\$ 250$ in grooming equipment from the Pet Gourmet, Invoice PG333.}\\ \text{31} & \text{Issued Check 414 for $\$ 1,300$ as an installment payment for the amount owed to Dogs & Cats Inc. }\\ \end{array} $$

Abe Shultz, owner of Kits & Pups Grooming, uses the following accounts to record transactions for the month. $$ \begin{matrix} \text{General Ledger} & \text{ }\\ \hline \text{101 Cash in Bank} & \text{401 Boarding Revenue}\\ \text{105 Accounts Receivable—} & \text{405 Grooming Revenue}\\ \text{Juan Alvarez} & \text{501 Advertising Expense}\\ \text{140 Grooming Equipment} & \text{505 Equipment Repair Expense}\\ \text{205 Accounts Payable—} & \text{510 Maintenance Expense}\\ \text{Dogs & Cats Inc.} & \text{520 Rent Expense}\\ \text{301 Abe Shultz, Capital} & \text{530 Utilities Expense}\\ \text{305 Abe Shultz, Withdrawals} & \text{ }\\ \end{matrix} $$ For each transaction: 1. Prepare a T account for each account listed. 2. Enter a balance of $15,000 in the Cash in Bank account; also enter a balance of$15,000 in the Abe Shultz, Capital account. 3. Analyze and record each of the following business transactions, using the appropriate T accounts. Identify each transaction by number. 4. After all the business transactions have been recorded, write the word Balance on the normal balance side of each account. 5. Compute and record the balance for each account. $$ \begin{array}{rl} \text{Date} & \text{Transactions}\\ \hline \text{Jan. 1} & \text{1. Purchased grooming equipment for $\$ 12,700,$ Check 283 .}\\ \text{10} & \text{2. Wrote Check 284 for advertising, $\$ 125$ .}\\ \text{12} & \text{3. Received $\$ 1,850$ cash for dog boarding services.}\\ \text{15} & \text{4. Paid $\$ 150$ for equipment repair, Check $285 .$}\\ \text{17} & \text{5. Purchased a dog cage on account from Dogs 8 - Cats Inc. for $\$ 75 .$}\\ \text{20} & \text{6. Abe Shultz withdrew $\$ 150$ for personal use, Check 286 .}\\ \text{22} & \text{7. Billed Juan Alvarez for $\$ 775$ covering grooming services for all of the dogs boarded at the kennels he owns. Payment will be received later.}\\ \text{23} & \text{8. Paid the first two weeks' rent by writing Check 287 for $\$ 325 .$}\\ \text{25} & \text{9. Paid the electric bill at a cost of $\$ 115,$ Check 288 .}\\ \end{array} $$

The following list includes several payroll-related items used in preparing the weekly payroll for Outdoor Adventures. These items are included in either the entry to record the payroll or the entry to record the employer’s payroll taxes. Employees’ federal income tax, Employer’s social security tax, U.S. savings bonds, Employer’s Medicare tax, Federal unemployment tax, Employees’ state income tax, Union dues, Employees’ social security tax, State unemployment tax, Employees’ Medicare tax. Use the form provided in your working papers. Place a check mark in the column that describes the entry in which the item is recorded: -entry to record the payroll -entry to record the employer’s payroll taxes.

The following account balances appear in the general ledger for Soap Box Laundry on April 30. Record the payment of the four liability accounts on page 34 of the general journal.

$$\begin{array}{ll} \text{General Ledger} & \text{ }\\ \text{Social Security Tax Payable} & \text{$\$ 318.55$}\\ \text{State Income Tax Payable} & \text{205.60}\\ \text{Medicare Tax Payable} & \text{113.28}\\ \text{Employees' Federal} & \text{ }\\ \text{Income Tax Payable} & \text{286.00}\\ \end{array}$$

Hot Suds Car Wash has four employees. They are paid on a weekly basis with overtime paid for all hours worked over 40 in a week. The overtime rate is $1\frac{1}{2}$ times the regular rate of pay. The payroll information follows.

$$\begin{array}{llll} \text{ } & \text{Employee} & \text{Rate per} & \text{Marital} & \text{ } & \text{Union}\\ \text{Employee} & \text{Number} & \text{Hour} & \text{Status} & \text{Allowances} & \text{Member}\\ \hline \text{James Dumser} & \text{108} & \text{$\$ 6.40$} & \text{Single} & \text{0} & \text{No}\\ \text{Gail Job} & \text{112} & \text{$\$ 7.22$} & \text{Married} & \text{1} & \text{Yes}\\ \text{James Liptak} & \text{102} & \text{$\$ 6.70$} & \text{Married} & \text{2} & \text{Yes}\\ \text{Bruce Stern} & \text{109} & \text{$\$ 7.80$} & \text{Single} & \text{1} & \text{Yes}\\ \end{array}$$

During the week ending October 9, Dumser worked 39 hours, Job worked 41 hours, and Liptak and Stern each worked 36 hours. On the forms provided in your working papers: 1. Prepare a payroll register for the week ending October 9. The date of payment is also October 9. List employees in alphabetical order by last name. Use the tables on page 317 to determine the federal income tax withholding. The rate for the state income tax is 2%. Compute social security tax at 6.2% and Medicare tax at 1.45%. Union members pay weekly dues of $4.50. Both Gail Job and Bruce Stern had$6.75 deducted for health and hospital insurance. 2. Total the amount columns. Subtract total deductions from total earnings. Does the result equal the sum of the Net Pay column? If not, find and correct any error(s) on the payroll register.

After graduating from college, Abe Shultz decided to start a pet grooming service called Kits & Pups Grooming. Use a form similar to the one that follows. For each of the following transactions: 1. Identify the accounts affected, using the account names on the form. 2. Determine the amount of the increase or decrease for each account. 3. Write the amount of the increase (+) or decrease (-) in the space under each account affected. 4. On the following line, write the new balance for each account. 5. Transaction 1 is completed as an example. $$ \begin{matrix} \text{ } & \text{ } & \text{Assets} & \text{ } & \text{ } & \text{$=$} & \text{Liabilities} & \text{$+$} & \text{Owner’s Equity}\\ \hline \text{Trans.} & \text{Cash in} & \text{Accts.} & \text{Office} & \text{Grooming} & \text{$=$} & \text{Accounts} & \text{$+$} & \text{Abe Shultz,}\\ \text{ } & \text{Bank} & \text{Rec.} & \text{Equip.} & \text{Equip.} & \text{ } & \text{Payable} & \text{ } & \text{Capital}\\ \text{1} & \text{$+\$ 10,000$} & \text{ } & \text{ } & \text{ } & \text{ } & \text{ } & \text{ } & \text{$+\$ 10,000$}\\ \end{matrix} $$ $$ \begin{array}{rl} \text{Date} & \text{Transactions}\\ \text{Jan. 2} & \text{1. Abe Shultz began the business by depositing $\$10,000$ in a checking account at the Shoreline National Bank in the name of the business, Kits & Pups Grooming.}\\ \text{3} & \text{2. Bought grooming equipment for cash, $\$1,000$.}\\ \text{8} & \text{3. Issued a check for $\$900$ for the monthly rent.}\\ \text{9} & \text{4.Bought $\$6,000$ worth of new office equipment on account for use in the business.}\\ \text{15} & \text{5. Received $\$700$ cash for services performed for customers during the first week of business. }\\ \text{21} & \text{6. Issued a $\$2,000$ check to the creditor as partial payment for the office equipment purchased on account.}\\ \text{29} & \text{7. Performed grooming services and agreed to be paid for them later, $\$500$.}\\ \end{array} $$

In your working papers, indicate the assumption from the list below that best matches each numbered statement. Accounting Period, Business Entity, Going Concern 1. Accounting reports may cover a month, a quarter, or a year. 2. Accountants expect a business to last indefinitely. 3. The personal property of a business owner is not included in the accounting records of the business. 4. The business has been in operation for several years and is expected to continue. 5. An owner’s personal activities or properties are not mixed with the business activities or properties. 6. The accountant’s report shows how much profit the business earned for one month.

It is typically recommended that the average fluid velocity in a hydraulic system working line should not exceed feet per second.

Explain why working conditions can either justiy higher wages or make up for lower wages.

Graph the two functions you found in problem 1.

Problem 1:

Two construction workers working at different heights on a skyscraper dropped their hammers at the same time. The first was working at a height of 400 ft, the second at a height of 160 ft. Give the two functions that describe the heights of the hammers.