Response to the following:
a. At the end of the year, Quality Roofing had the following payroll:
|
Classification
|
Actual Payroll
|
Rate (Percent)
|
|
Clerical/office work
|
$189,000
|
0.11
|
|
Project estimators
|
195,000
|
0.15
|
|
Roofer construction
|
695,000
|
2.20
|
Determine the amount of the end-of-the-year adjustment for workers' compensation insurance and prepare the journal entries to record the year-end adjustments for the insurance expired and the additional premium.
b. Assume that Quality Roofing had $2,000 of salaries accrue for the time between the last payday and the end of the year. Record the adjusting entry for the accrued salaries.