Author: Joyell Bachler

TICKET TO FLY! / Lesson 9-1: Subsidiary Ledgers and / Controlling Accounts / Maria has opened an ice cream shop named Maria’s Cool Treats. Maria has many vendors she buys her treats from. To keep these vendor balances up-to-date and ensure payment by due dates, she has created a subsidiary ledger for her Accounts Payable. / Start a new accounts payable / ledger page for Seeman’s Ice Cream. As of July 1, Maria owes them $555 dollars (balance), and they are vendor number 250.	TICKET TO FLY! / Lesson 9-2: Accounting for Merchandise Purchases / Journalize the following transactions. Use page 1. / On July 5th, Maria purchased 500 more regular ice cream bars from The Frozen Tundra, for a total price of $300, P53. / On July 10th, Maria purchased 40 more Strawberry Shortcake bars from Really Cold Treats, for a total price of $50, P54	TICKET TO FLY! / Lesson 9-3: Posting from the Purchases Journal / Maria is in need of more inventory, but she doesn’t want her Accounts Payable to become too high. She needs to post her most recent Purchases Journal to see the accurate balance of her Accounts Payable. / Post the last two entries on the Purchase Journal / (page 1) to the subsidiary ledger. Use date July 29. / 2. Rule and post the whole Purchases Journal (p. 1) to just the AP account (the total is shown for you). Use date July 29. What other account is affected by totaling the Purchases Journal? Debit or credit? ___________________

If the Balance of Maria’s Accounts Payable is $1050, list the missing amount below.

Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!

TICKET TO FLY! / Lesson 9-4: Accounting for / Cash Payments	TICKET TO FLY! / Lesson 9-5: / Posting from a Cash Payments Journal	TICKET TO FLY! / Lesson 10-1 / Accounting for Sales on Account / Journalize the following transactions: / On August 13, SuperFill bought $250 worth of ice cream bars for their convenience store. Maria allowed them to charge to their account. Sales tax is 6.5%. S100 / On August 15, Bellvue School bought $75 worth of ice cream bars for their school. Maria allowed them to charge to their account. Remember, schools do not pay sales tax. S101

You are assisting Maria’s bookkeeper while she takes a break. She has asked you to post the last transaction on (8/20) to its subsidiary ledger and the TOTALS to AP only.

On August 2, Maria wrote a check (# 167) to Seaman’s Ice Cream to pay for Purchase Invoice 48 for $555, less a 2% discount because she paid early.
On August 5, Maria wrote a check to (#168) replenish her petty cash. A total of the petty cash slips shows the following expenses: postage expense: $42, misc. expense $16. Petty cash is always replenished to $100. The cash still left in the box is $40.

Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!

TICKET TO FLY! / Lesson 10-2 / Posting from the Sales Journal / POST the 8/13 entry to SuperFill’s subsidiary ledger. Also, post the Sales Tax Payable total of the Sales Journal. Rule the Sales Journal.	TICKET TO FLY! / Lesson 10-3: Accounting for Cash / and Credit Card Sales	TICKET TO FLY! / Lesson 10-4: Posting from the Cash Receipts Journal / Total and Rule the Cash Receipts journal. Below, make sure debits and credits balance. / Debits Total: ____________ / Credits Total: ____________ / On August 1, Maria’s Cool Treats has $3,539 in cash. You calculated the total for the Cash Receipts Journal. The total of the Cash Payments Journal is $938.90. / What is the ending amount of cash on hand? (show your / calculation below) / Balance next check stub: $ 5,810.65

Maria recently installed a cash register to record her cash sales for the day. On her first day, her cash register slip showed a total of $1060.25, plus sales tax of $20.90. TS1.
Record this transaction, dated 8/28.
The next day, she received a check from Bellvue School for Sales Invoice 101($75.00), less a 2% discount. R100. Record this transaction.

1

Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!

TICKET TO FLY! / Lesson 11-1: Accounting for Purchases Transactions Using a General Journal	TICKET TO FLY! / Lesson 11-2: Recording Sales Transactions Using the General Journal	TICKET TO FLY! / Lesson 11-3: Accounting for Declaration and Payment of a Dividend / Which journal is used to journalize the payment of a declared dividend? / Which account is / debited?

Maria has become public, meaning her company is now owned by herself and other individuals who bough stock (shareholders). She has had a profitable quarter, so she decided to pay her shareholders dividends of $2,500. Complete the journal entry for this transaction.

Maria bought supplies for her store from Office Plus and used her charge account. The entry is partially journalized for you. Complete the journal entry for this transaction.
Maria accidentally bought 100 too many Orange Sherbet bars from Seaman’s Ice Cream, worth $100. She would like to return them. The entry is partially journalized for you. Complete the journal entry for this transaction.

SuperFill would like to return $44.73 worth of the ice cream they purchased due to it being expired. The total tax for the amount is $2.73. The entry is partially journalized for you. Complete the journal entry.
Maria accidentally put a sale for $65 onto Buffalo Coffee Shop’s account. The correct account is Rockie’s Gas. The entry is partially journalized for you. Complete the journal entry.

Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!

TICKET TO FLY! / Lesson 12-1: Calculating Employee Earnings / Maria has opened a new location hired three employees to help her. Kathy Kline is paid $14.00. She is a regular employee. Any hours over 40 in a WEEK are overtime. Calculate her total earnings this week. / Monday—9 hours / Tuesday– 7.5 hours / Wednesday– 8.5 hours / Thursday– 9 hours / Friday– 7.5 hours / Total hours: / _____________________________________ / Regular wages: / _____________________________________ / Overtime wages: / _____________________________________ / Total GROSS earnings: _____________________________________	TICKET TO FLY! / Lesson 12-2: Determining / Payroll Tax Withholding	TICKET TO FLY! / Lesson 12-3: Preparing Payroll Records

Kathy Kline’s gross pay last paycheck was $1,049.50. Kathy’s W-2 is listed below. Using the Tax Withholding chart below, calculate her income tax. Calculate her Medicare and Social Security taxes also. (Assume all wages are subject to SS/Medicare)

Calculate the Net Pay for each pay period, as well as the Accumulated earnings for both pay periods.

Gross Income: $1,049.50
Income Tax: _________ Medicare: ___________
SS Tax: _______________Net Pay: ____________

Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!

TICKET TO FLY! / Lesson 12-4: Preparing Payroll Checks	TICKET TO FLY! / Lesson 13-1: Recording a Payroll	TICKET TO FLY! / Lesson 13-2: Recording Employer / Payroll Taxes

Maria is journalizing the payment of her most recent payroll.
Using the following information, complete the journal entry.
Gross pay for the pay-period = $4,522.75
Employee Income Tax Payable = $ 315.60
Social Security Tax Payable = $ 422.50
Medicare Tax Payable = $ 76.80
Health Insurance Premiums Payable = $ 135.00
Retirement Contributions Payable = $ 305.70

Maria needs to journalize her tax (employer) tax liability. First, which four taxes to EMPLOYERS pay?
1.
2.
3.
4.
Complete the journal entry above by entering in account titles.

Maria also keeps her payroll account separate. The gross pay for this pay period is $4,670.68. Net pay for this pay period is $4,135.50. Write the general account check dates 12/15/2019.
Kathy Kline’s gross pay for this pay period is $2,120.60. Her net pay is $1,879.90. Write Kathy’s check, dated 12/15/2019.

Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!	Rank your understanding: / (circle one—list what you’re stumped on) / STOP! I don’t get this! / I get some of it! / I could show a classmate / how to do this!

TICKET TO FLY! / Lesson 13-3: Reporting withholding and Payroll Taxes / Maria has to file her quarterly 941 report to ensure she is depositing accurate tax amounts each month. / Complete part of the 941 below by / calculating and entering the monthly tax deposits and total quarterly tax liability. / What is the employer medicare tax / percentage? ___________________ / What is the employer social security tax percentage? ____________________	TICKET TO FLY! / Lesson 13-4: Paying Withholding and / Payroll Taxes / Which three tax liabilities do we pay (generally) as a monthly deposit to the IRS? / Maria is required to make monthly tax deposits for due liabilities. She is paying her / September tax liability on October 15th via EFTPS, the online portal. / Journalize this transaction. / Income tax liability: $678.20 / Social security liability: $1,539.91 / Medicare liability: 360.14 / Our payable (liability) accounts have a normal balance of a __________, so to reduce them (since we are paying our tax liability with our monthly deposit) we will _____________ them.	TICKET TO FLY!

Date Paid	Total Earnings	Federal Income Tax Withheld	Employee SS Tax Withheld	Employee Medicare Tax Withheld
Jul. 31	$ 6,824.00	$ 540.00	$ 423.09	$ 98.95
Aug. 31	7,214.00	580.00	447.27	104.60
Sep. 30	6,985.00	560.00	433.07	101.28