90.2K

Verified Solution

Link Copied!

Help! i keep getting this incorrect.

On January 1, 2017, Sandhill Co's accounting records contained these liability accounts. Accounts Payable Sales Taxes Payable Unearned Service Revenue $44,600 7,650 21.100 During January, the following selected transactions occurred. Jan. 1 Borrowed $18,000 in cash from Apex Bank on a 4-month, 5%, $18.000 note. 5 Sold merchandise for cash totaling $5.300, which includes 6% sales taxes. 12 Performed services for customers who had made advance payments of $13,600. (Record Serv 14 Paid state treasurer's department for sales taxes collected in December 2016, $7,650. 20 Sold 710 units of a new product on credit at $54 per unit, plus 6% sales tax. During January, the company's employees earned wages of $72.800. Withholdings related to these wages were $5,569 for Social Security (FICA). $5.200 for federal income tax, and $1.560 for state income tax. The company owed no money related to these earnings for federal or state unemployment tax. Assume that wages earned during January will be paid during February. Wages or payroll tax expense have not been recorded as of January 31. Prepare the current liabilities section of the balance sheet at January 31, 2017. Assume no change in Accounts Payable. (Round answers to decimal places, e.g. 5,275.) SANDHILL CO. Balance Sheet (Partial) January 31, 2017 Current Liabilities Accounts Payable Is 44,600 Sales Taxes Payable NI 7,650 0 7 Interest Payable | Salaries and Wages Payable Federal Income Taxes Payable State Income Taxes Payable 2,800 5,200 1,560 Notes Payable Unearned Service Revenue 21.100 FICA Taxes Payable 5,569 Total Current Liabilities

Answer & Explanation Solved by verified expert

See Answer