Question

You are the accountant for Security Software.  The month just ended 1/31/2002.
Create journal entries for the following:
11.  During the month software sales were 50,000,  all on account, and sales tax is 8.5%
in addition to that amount.  Describe the above with a journal entry:
	Account			Debit	Credit
12.  On Feb 15th you send this sales tax from number 11 to the state.  Make the Journal
	Account			Debit	Credit
13.  Customers also were invoiced $12,000 for 1 year maintenance contracts.  Describe the
transaction.  (there is no sales tax on this)
	Account			Debit	Credit
14.  The month's payroll, paid on 1/31 needs to be recorded.  Total payroll is $20,000
4,000 is withheld for federal taxes, 1,000 for state taxes, and 7.65% is withheld for FICA tax.
	Account			Debit	Credit
15.  On 10/31/2011 The company takes out a $120,000 bank loan and signs a 4 year note at 8% interest
paid every 3 months.			Make Journals for the following
		a.  10/31/2011 - record the loan
		b.  12/31/2011 - year end needs to have everything accurate including interest liabilities
		c  1/31/2012 - it has been 3 months
Date	Account			Debit	Credit

Answer 1