會計學原理23版-英文版課件WildFAP23eCh11課件

CurrentLiabilitiesand

PayrollAccountingChapter11Wild,Shaw,andChiappettaFundamentalAccountingPrinciples23rdEdition

Copyright?2017McGraw-HillEducation.

Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMcGraw-HillEducation.2

Chapter11LearningObjectivesCONCEPTUALC1Describecurrentandlong-termliabilitiesandtheircharacteristics.C2Identifyanddescribeknowncurrentliabilities.C3Explainhowtoaccountforcontingentliabilities.ANALYTICALA1Computethetimesinterestearnedratioanduseittoanalyzeliabilities.PROCEDURALP1Prepareentriestoaccountforshort-termnotespayable.P2Computeandrecordemployeepayrolldeductionsandliabilities.P3Computeandrecordemployerpayrollexpensesliabilities.P4Accountforestimatedliabilities,includingwarrantiesandbonuses.P5

Appendix11A–Identifyanddescribethedetailsofpayrollreports,records,andprocedures.

C1:

Describecurrentandlong-termliabilitiesandtheircharacteristics.

3LearningObjectiveDefiningLiabilities4LearningObjectiveC1:Describecurrentandlong-termliabilitiesandtheircharacteristics.Exhibit11.1ClassifyingLiabilitiesDuewithinoneyearorthecompany’soperatingcycle,whicheverislonger.CurrentLiabilitiesDueafteroneyearorthecompany’soperatingcycle,whicheverislonger.Long-TermLiabilities5LearningObjectiveC1:Describecurrentandlong-termliabilitiesandtheircharacteristics.CurrentandLong-Term

LiabilitiesCurrentliabilitiesareobligationsduewithinoneyearorthecompany’soperatingcycle,whicheverislonger.Long-termliabilitiesareobligationsdueafteroneyearorthecompany’soperatingcycle,whicheverislonger.6LearningObjectiveC1:Describecurrentandlong-termliabilitiesandtheircharacteristics.Exhibit11.2UncertaintyofLiabilitiesUncertaintyinWhentoPayUncertaintyinWhomtoPayUncertaintyinHowMuchtoPay7LearningObjectiveC1:Describecurrentandlong-termliabilitiesandtheircharacteristics.

C2:

Identifyanddescribeknowncurrentliabilities.8LearningObjectiveAccountsPayableSalesTaxesPayableUnearnedRevenuesShort-TermNotesPayableKnownLiabilitiesPayrollLiabilitiesMulti-PeriodKnownLiabilities9LearningObjectiveC2:Identifyanddescribeknowncurrentliabilities.OnAugust31,HomeDepotsoldmaterialsfor$6,000thataresubjecttoa5%salestax.SalesTaxPayable$6,000×5%=$30010LearningObjectiveC2:Identifyanddescribeknowncurrentliabilities.OnJune30,Rihannasells$5,000,000inticketsforeightconcerts.UnearnedRevenuesOnOct.31,Rihannaperformsaconcert.$5,000,000/8=$625,00011LearningObjectiveC2:Identifyanddescribeknowncurrentliabilities.

P1:

Prepareentriestoaccountforshort-termnotespayable.

12LearningObjectiveAwrittenpromisetopayaspecifiedamountonastatedfuturedatewithinoneyearorthecompany’soperatingcycle,whicheverislonger.Short-TermNotesPayable13LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.OnAugust23,BradyCompanyasksMcGrawtoaccept$100cashanda60-day,12%$500notetoreplaceitsexisting$600AccountPayable.NoteGiventoExtend

CreditPeriod14LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.OnOctober22,BradypaysthenoteplusinteresttoMcGraw.NoteGiventoExtend

CreditPeriodInterestexpense=$500×12%×(60÷360)=$1015LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.NoteGivenToBorrow

FromBankOnSept.30,acompanyborrows$2,000fromabankat12%interestfor60days.OnNov.29,thecompanyrepaystheprincipalofthenoteplusinterest.Interestexpense=$2,000×12%×(60÷360)=$4016LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.NoteDateEndofPeriodMaturityDateAnadjustingentryisrequiredtorecordInterestExpenseincurredtodate.WhenNoteExtendsover

Period-End17LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.End-of-PeriodAdjustment

toNotesOnDec.16,2017,acompanyborrows$2,000fromabankat12%interestfor60days.AnadjustingentryisneededonDecember31.OnFeb.14,2018,thecompanyrepaysthisprincipalandinterestonthenote.18LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.NEED-TO-KNOW11-1Part1DebitCreditJun.30Cash535Sales500Salestaxespayable($500x.07)35Jun.30Costofgoodssold300Merchandiseinventory300Jul.15Salestaxespayable35Cash35GeneralJournalPart1.Aretailersellsmerchandisefor$500cashonJune30(costofmerchandiseis$300).Thesalestaxlawrequirestheretailertocollect7%salestaxoneverydollarofmerchandisesold.Recordtheentryforthe$500saleanditsapplicablesalestax.Alsorecordtheentrythatshowstheremittanceofthe7%taxonthissaletothestategovernmentonJuly15.19LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.NEED-TO-KNOW11-1Part2DebitCreditApr.30Cash40,000Unearnedticketrevenue40,000May15Unearnedticketrevenue$40,000/4concerts10,000Earnedticketrevenue10,000GeneralJournalPart2.Aticketagencyreceives$40,000cashinadvanceticketsalesforafour-datetourofHaim.RecordtheadvanceticketsalesonApril30.RecordtherevenueearnedforthefirstconcertdateofMay15,assumingitrepresentsone-fourthoftheadvanceticketsales.20LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.NEED-TO-KNOW11-1Part3DebitCreditNov.25Cash8,000Notespayable8,000Dec.31Interestexpense($8,000x.05x36/360)40Interestpayable40Feb.23Interestexpense($8,000x.05x54/360)60Interestpayable($8,000x.05x36/360)40Notespayable8,000Cash8,100Part3.OnNovember25ofthecurrentyear,acompanyborrows$8,000cashbysigninga90-day,5%notepayablewithafacevalueof$8,000.(a)ComputetheaccruedinterestpayableonDecember31ofthecurrentyear,(b)preparethejournalentrytorecordtheaccruedinterestexpenseatDecember31ofthecurrentyear,and(c)preparethejournalentrytorecordpaymentofthenoteatmaturity.GeneralJournal36days54days21LearningObjectiveP1:Prepareentriestoaccountforshort-termnotespayable.

P2:

Computeandrecordemployeepayrolldeductionsandliabilities.

22LearningObjectivePayrollLiabilities

Employersincurexpensesand

liabilitiesfromhavingemployees.23LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.EmployeePayrollDeductions24LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.Exhibit11.3Employersmustpaywithheldtaxesto

theInternalRevenueService(IRS).FICATaxes—Soc.Sec.2016:6.2%ofthefirst$118,500earnedintheyear.EmployeeFICATaxesFederalInsuranceContributionsAct(FICA)FICATaxes—

Medicare2016:1.45%ofallwagesearnedintheyear.25LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.Amountswithhelddependontheemployee’searnings,taxrates,andnumberofwithholdingallowances.Employersmustpaythetaxeswithheldfromemployees’grosspaytotheappropriategovernmentagency.FederalIncomeTaxEmployeeIncomeTaxStateandLocalIncomeTaxes26LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.Amountswithhelddependontheemployee’srequest.Employersowevoluntaryamountswithheldfromemployees’grosspaytothedesignatedagency.Examplesincludeuniondues,savingsaccounts,pensioncontributions,insurancepremiums,andcharities.EmployeeVoluntaryDeductions27LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.Anentrytorecordpayrollexpensesanddeductionsforanemployeemightlooklikethis.RecordingEmployeePayroll

Deductions*Amountstakenfromemployee’semploymentrecords28LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.

P3:

Computeandrecordemployerpayrollexpensesandliabilities.

29LearningObjectiveEmployerspayamountsequaltothatwithheldfromtheemployee’sgrosspay.EmployerPayrollTaxesFICATaxesFederalandStateUnemploymentTaxesMedicareTaxes30LearningObjectiveP3:Computeandrecordemployerpayrolldeductionsandliabilities.6.0%onthefirst$7,000ofwagespaidtoeachemployee.Acreditupto5.4%isgivenforSUTApaid,thereforethenetrateis0.6%.FederalUnemploymentTax(FUTA)5.4%onthefirst$7,000ofwagespaidtoeachemployee.MeritratingsmaylowerSUTArates.StateUnemploymentTax(SUTA)FederalandState

UnemploymentTaxes31LearningObjectiveP3:Computeandrecordemployerpayrolldeductionsandliabilities.Anentrytorecordtheemployerpayroll

taxesforJanuarymightlooklikethis.FICAamountsarethesameasthatwithheldfromtheemployee’sgrosspay.RecordingEmployer

PayrollTaxesSUTA:$2,000x5.4%=$108FUTA:$2,000x(0.6)=1232LearningObjectiveP3:Computeandrecordemployerpayrolldeductionsandliabilities.InternalControlofPayrollFourkeyareasofpayrollactivitiesthatshouldbeseparatedandmonitored:EmployeeHiringPayrollPreparationTimekeepingPayrollPayment33LearningObjectiveP3:Computeandrecordemployerpayrolldeductionsandliabilities.Multi-PeriodKnown

LiabilitiesIncludesUnearnedRevenuesandNotesPayableUnearnedRevenuesfrommagazinesubscriptionsoftencovermorethanoneaccountingperiod.AportionoftheearnedrevenueisrecognizedeachperiodandtheUnearnedRevenueaccountisreduced.NotesPayableoftenextendovermorethanoneaccountingperiod.Athree-yearnotewouldbeclassifiedasacurrentliabilityforoneyearandalong-termliabilityfortwoyears.34LearningObjectiveC2:Identifyanddescribeknowncurrentliabilities.NEED-TO-KNOW11-2Part1DebitCreditJan.8Salessalariesexpense30,000Officesalariesexpense20,000FICA-Socialsecuritytaxespayable($50,000x.062)3,100FICA-Medicaretaxespayable($50,000x.0145)725Employeefederalincometaxespayable9,000Employeemedicalinsurancepayable2,000Employeepensionspayable1,000Salariespayable34,175Part1)ComputeFICASocialSecuritytaxespayableandFICAMedicaretaxespayable.Preparethejournalentrytorecordthecompany’sJanuary8(employee)payrollexpensesandliabilities.GeneralJournalAcompany’sfirstweeklypayperiodoftheyearendsonJanuary8.Onthatdate,thecolumntotalsinitspayrollregistershowthatsalesemployeesearned$30,000,andofficeemployeesearned$20,000insalaries.TheemployeesaretohavewithheldfromtheirsalariesFICASocialSecuritytaxesattherateof6.2%,FICAMedicaretaxesattherateof1.45%,$9,000offederalincometaxes,$2,000ofmedicalinsurancedeductions,and$1,000ofpensioncontributions.Noemployeeearnedmorethan$7,000inthefirstpayperiod.35LearningObjectiveP3:Computeandrecordemployerpayrolldeductionsandliabilities.LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.NEED-TO-KNOW11-2Part2DebitCreditJan.8Salessalariesexpense30,000Officesalariesexpense20,000FICA-Socialsecuritytaxespayable($50,000x.062)3,100FICA-Medicaretaxespayable($50,000x.0145)725Employeefederalincometaxespayable9,000Employeemedicalinsurancepayable2,000Employeepensionspayable1,000Salariespayable34,175Jan.8Payrolltaxesexpense5,825FICA-Socialsecuritytaxespayable($50,000x.062)3,100FICA-Medicaretaxespayable($50,000x.0145)725SUTA-Stateunemploymenttaxespayable($50,000x.034)1,700FUTA-Federalunemploymenttaxespayable($50,000x.006)300GeneralJournalPart2)Preparethejournalentrytorecordthecompany’s(employer)payrolltaxesresultingfromtheJanuary8payroll.Itsmeritratingreducesitsstateunemploymenttaxrateto3.4%ofthefirst$7,000paidtoeachemployee.Thefederalunemploymenttaxrateis0.6%.36LearningObjectiveP3:Computeandrecordemployerpayrolldeductionsandliabilities.LearningObjectiveP2:Computeandrecordemployeepayrolldeductionsandliabilities.

P4:

Accountforestimatedliabilities,includingwarrantiesandbonuses.37LearningObjectiveEstimatedLiabilitiesAnestimatedliabilityisaknownobligationofanuncertainamount,butonethatcanbereasonablyestimated.38LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.Employerexpensesforpensionsormedical,

dental,life,anddisabilityinsuranceHealthandPensionBenefitsAssumeanemployeragreestopayanamountformedicalinsuranceequalto$8,000,andcontributeanadditional10%oftheemployees’$120,000grosssalarytoaretirementprogram.39LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.VacationBenefitsAssumeanemployeeearns$20,800peryearandearnstwoweeksofpaidvacationeachyear.$20,800÷50weeks=$416$20,800÷52weeks=$400Weeklyvacationbenefit$1640LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.BonusPlansAssumethatabonusof$10,000willbepaidtoemployeestobesharedbyall:41LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.WarrantyLiabilitiesSeller’sobligationtoreplaceorcorrectaproduct(orservice)thatfailstoperformasexpectedwithinaspecifiedperiod.Sellerreportsexpectedwarrantyexpenseintheperiodwhenrevenuefromthesaleisreported.Sellerreportswarrantyobligationasaliability.42LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.WarrantyLiabilitiesOnDec.1,2017,adealersellsacarfor$16,000withamaximumone-yearor12,000milewarrantycoveringparts.Pastexperienceindicateswarrantyexpensesaverage4%ofacar’ssellingprice.OnJan.9,2018,thecustomerreturnsthecarforrepairs.Thedealerreplacespartscosting$200.43LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.NEED-TO-KNOW11-3Part1DebitCreditWeeklyVacationbenefitsexpense($4,160-$4,000)160Vacationbenefitspayable160Acompany’ssalariedemployeesearntwoweeksvacationperyear.Itpays$208,000intotalemployeesalariesfor52weeksbutitsemployeesworkonly50weeks.Thismeansitstotalweeklyexpenseis$4,160($208,000/50weeks)insteadofthe$4,000cashpaidweeklytotheemployees($208,000/52weeks).Recordthecompany’sregularweeklyvacationbenefitsexpense.GeneralJournalExpenserecognitionprincipleExpenseisrecognizedinthesameperiodastherevenueithelpedgenerate.44LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.LearningObjectiveC3:Explainhowtoaccountforcontingentliabilities.NEED-TO-KNOW11-3Part2DebitCreditDec.31Employeebonusexpense40,000Bonuspayable40,000Jan.20Bonuspayable40,000Cash40,000ForthecurrentyearendedDecember31,acompanyhasimplementedanemployeebonusprogrambaseditsnetincome,whichemployeeswillshareequally.Itsbonusexpenseis$40,000.(a)PreparethejournalentryatDecember31ofthecurrentyeartorecordthebonusdue.(b)PreparethejournalentryatJanuary20ofthefollowingyeartorecordthepaymentofthatbonustoemployees.GeneralJournalExpenserecognitionprincipleExpenseisrecognizedinthesameperiodastherevenueithelpedgenerate.45LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.LearningObjectiveC3:Explainhowtoaccountforcontingentliabilities.NEED-TO-KNOW11-3Part3DebitCreditJun.11Cash400Sales400Jun.11Warrantyexpense($400x.05)20Estimatedwarrantyliability20Mar.24Estimatedwarrantyliability15Repairpartsinventory15OnJune11ofthecurrentyear,aretailersellsatrimmerfor$400withaone-yearwarrantythatcoversparts.Warrantyexpenseisestimatedat5%ofsales.OnMarch24ofthenextyear,thetrimmerisbroughtinforrepairscoveredunderthewarrantyrequiring$15inmaterialstakenfromtheRepairPartsInventory.Preparethe(a)June11entrytorecordthetrimmersale,and(b)March24entrytorecordwarrantyrepairs.GeneralJournalExpenserecognitionprincipleExpenseisrecognizedinthesameperiodastherevenueithelpedgenerate.46LearningObjectiveP4:Accountforestimatedliabilities,includingwarrantiesandbonuses.LearningObjectiveC3:Explainhowtoaccountforcontingentliabilities.

C3:

Explainhowtoaccountforcontingentliabilities.

47LearningObjectiveAccountingfor

ContingentLiabilities48LearningObjectiveC3:Explainhowtoaccountforcontingentliabilities.Exhibit11.5ReasonablyPossible

ContingentLiabilitiesPotentialLegalClaims

–Apotentialclaimisrecordediftheamountcanbereasonablyestimatedandpaymentfordamagesisprobable.DebtGuarantees

–Theguarantorusuallydisclosestheguaranteeinitsfinancialstatementnotes.Ifitisprobablethatthedebtorwilldefault,theguarantorshouldrecordandreporttheguaranteeasaliability.49LearningObjectiveC3:Explainhowtoaccountforcontingentliabilities.NEED-TO-KNOW11-4(ii)Isreasonablyestimatedbutnotaprobableloss.(ii)Probablelossbutcannotbereasonablyestimated.DebitCredit(i)Environmentalcontingentexpense900,000Environmentalcontingentliability900,000GeneralJournalThefollowinglegalclaimsexistforacompany.Identifytheaccountingtreatmentforeachclaimaseither(i)aliabilitythati