Display and print the payroll item listing report

Assignment Help Accounting Basics

Reference no: EM131697216

Case Problem -

In August, the third month of business for Olivia's Web Solutions, Olivia Chen has decided to hire two employees. To prepare for this, Olivia wishes to set up the payroll feature. The company file includes information for Olivia's Web Solutions as of August 1, 2017.

1. Open the company file CH8 Olivia's Web Solutions.QBW.

2. Make a backup copy of the company file and name it OWS8 [Your Name] Olivia's Web Solutions.

3. Restore the backup copy of the company file. In both the Open Backup Copy and Save Company File as windows, use the file name OWS8 [Your Name] Olivia's Web Solutions.

4. Change the company name to OWS8 [Your Name] Olivia's Web Solutions.

5. Activate the payroll feature for Olivia's Web Solutions.

6. Customize the system default accounts:

QuickBooks		Edited
Number	Account Name	Number
24000	Payroll Liabilities	2100
66000	Payroll Expenses	6560

7. Add the following accounts to the Chart of Accounts List:

2110 - Social Sec/Medicare Tax Payable - Subaccount of 2100 Payroll Liabilities
2115 - SIT Payable - Subaccount of 2100 Payroll Liabilities
2120 - SIT Payable - Subaccount of 2100 Payroll Liabilities
2125 - FUTA Payable - Subaccount of 2100 Payroll Liabilities
2130 - SUI Payable - Subaccount of 2100 Payroll Liabilities
6565 - Salaries arid Wages Expense - Subaccount of 6560 Payroll Expenses
6611 - Social Sec/Medicare Tax Expense - Subaccount of 6560 Payroll Expenses
6625 - FUTA Expense - Subaccount of 6560 Payroll Expenses
6630 - SUI Expense - Subaccount of 6560 Payroll Expenses

8. Select the manual payroll calculations option.

9. Customize each of the payroll items listed below. For each item, proceed as follows:

Accept the name listed.
Choose United States Treasury as the agency to which the liability will be paid.
Select the liability and expense accounts indicated below.
Accept all tax rates.
Accept all taxable compensation default.

Payroll Item	Liability Account	Expense Account
Federal Unemployment	2125 FUTA Payable	6625 FUTA Expense
Federal Withholding	2115 FIT Payable
Medicare Company	2110 Social Sec/Medicare Tax Payable	6611 Social Sec/Medicare Tax Expense
Medicare Employee	2110 Social Sec/Medicare Tax Payable	6611 Social Sec/Medicare Tax Expense
Social Security Company	2110 Social Sec/Medicare Tax Payable	6611 Social Sec/Medicare Tax Expense
Social Security Employee	2110 Social Sec/ Medicare Tax Payable	6611 Social Sec/ Medicare Tax Expense

10. Add the following payroll items:

Salary

Payroll Item Type: Wage (Hourly Wages, Annual Salary, Commission, Bonus)
Payroll Item Subtype - Wages: Annual Salary
Wages: Regular Pay
Name: Salary
Expense Account: 6565 Salaries and Wages Expense

Wages

Payroll Item Type: Wage (Hourly Wages, Annual Salary, Commission, Bonus)
Payroll Item Subtype - Wages: Hourly Wages
Wages: Regular Pay
Name: Hourly Wages
Expense Account: 6565 Salaries and Wages Expense

State Tax Withholding

Payroll Item Type: State Tax (State Withholding, SDI, SUI)
State: NY
Payroll Item Subtype - Stare Tax: State Withholding
Name Used on Paychecks: NY - Withholding
Agency for liabilities: NYS Tax Department
Identifying Number: 55-5656566
Liability Account: 2120 SIT Payable
Taxable Compensation: Accept defaults

SUI

Payroll Item Type: State Tax (State Withholding, SDI, SUI)
State: NY
Payroll Item Subtype - Stare Tax: State Unemployment
Name Used on Paychecks: NY - Unemployment Company
Agency for liabilities: NYS Tax Department
Identifying Number: ER-4877
Liability Account: 2130 SUI Payable
Expense Account: 6630 SUI Payable
Company Tax Rate: 4.025% each quarter (or accept the default)
Taxable Compensation: Accept defaults

11. Display and print the Payroll Item Listing report.

Reference no: EM131697216

Questions Cloud

Compute new total budgeted overhead for orchard fresh : These gift baskets must be ready by May 31 and were not included in the original production budget for May. Without preparing a new overhead budget.

How much is this stock worth to you : If you require 12 percent rate of return, how much is this stock worth to you?

Write a review of the integrating the healthcare enterprise : Write a Literature Review of the Integrating the Healthcare Enterprise.

What happened to the real value of the peso during 1998 : The Mexican peso/US$ spot exchange rates in December 1997 and December 1998 were 6.3 and 7.0 respectively. During 1998 inflation rates.

Display and print the payroll item listing report : In August, the third month of business for Olivia's Web Solutions, Olivia Chen has decided to hire two employees. Display and print Payroll Item Listing report

Prepare a flexible budget for an activity level : Flexible Budgeting Quarterly budgeted overhead costs for two different levels of activity follow. The 2,000 level was the expected level from the master budget.

Percent rate of return on investments in risk class : If you require 16 percent rate of return on investments in this risk class, how much is this stock worth to you?

Identify the characters in screwtape letters : Identify the characters in Screwtape Letters,the qualities and purpose of relationships each of the characters maintain.

Different sequence and timing for the motors : Set of 3 LEDs - one red, one yellow and one green. So turning an LED on represents the corresponding motor being turned on-Our task is to control the 3 motors

User Account

All Pages