Question Details

(Solution) - Charger Inc had the following items that require adjusting entries

Brief item decscription

Solution download


Item details:

Charger, Inc. had the following items that require adjusting entries at the end of the year.
a. Charger pays its employees $5,000 every Friday for a five-day work week. This year December 31 falls on a Wednesday.
b. Charger earned income of $800,000 for the year for tax purposes. Its effective tax rate is 35 percent. These taxes must be paid by April 15 of next year.
c. Charger borrowed $280,000 with a note payable dated August 1. This note specifies 6 percent. The interest and principal are due on March 31 of the following year.
d. Charger?s president earns a bonus equal to 10 percent of income in excess of $650,000.
Income for the year was $800,000. This bonus is paid in May of the following year and any expense is charged to wages expense.

Required:
Prepare the adjusting journal entries to record these transactions at the end of the current year.

 







About this question:
STATUS
Answered
QUALITY
Approved
ANSWER RATING

This question was answered on: Jul 11, 2017

PRICE: $15

Solution~000779610539.zip (18.37 KB)

Buy this answer for only: $15

Pay using PayPal (No PayPal account Required) or your credit card. All your purchases are securely protected by PayPal.
SiteLock

Need a similar solution fast, written anew from scratch? Place your own custom order

We have top-notch tutors who can help you with your essay at a reasonable cost and then you can simply use that essay as a template to build your own arguments. This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student. New solution orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.

Order Now
v>