On January 1, 2010, the ledger of Glennon Company contained these liability accounts.
Accounts payable $49,020
Sales Taxes Payable 7,316
Unearned service revenue 26,330
During January the following selected transactions occurred.
Jan. 1 Borrowed $21,300 in cash from Midland Bank on a 4-month 8%, $21,300 note.
Jan. 5 Sold merchandise for cash totaling $7,518, which includes 5% sales taxes.
Jan. 12 Provided services for customers who had made advance payment of $17,944. (Credit Service Revenue.)
Jan. 14 Paid state treasurer's department for sales taxes collected in December 2009, $6,696.
Jan. 20 Sold 550 units of a new product on credit at $47 per unit, plus 5% sales tax.
During January the company's employees earned wages of $76,250. Withholdings related to these wages were $5,833 for Social Security (FICA), $5,452 for federal income tax, and $1,525 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. No entry had been recorded for wages or payroll tax expense as of January 31.