Company X manufactures 2 products (tapes and stickers) from a joint process. Tapes are allocated $7500 of the total joint costs of $25,000. There are 2500 tapes produced and 2500 stickers produced each year. Each tape can be sold at the split-off point for $10 per unit, or they can each be processed further into a larger tape for total additional processing costs of $8400 and sold for $19 for each large tape. If the tapes are processed further and made into large tapes, the effect on operating income would be

On january 15, the end of the first biweekly pay period of the year, north company’s payroll register showed that its employees earned $32,000 of sales salaries. withholdings from the employees’ salaries include fica social security taxes at the rate of 6.2%, fica medicare taxes at the rate of 1.45%, $3,000 of federal income taxes, $772 of medical insurance deductions, and $260 of union dues. no employee earned > $7,000 in this first period. prepare the journal entry to record north company’s january 15 (employee) payroll expenses and liabilities.