2
answers
0
watching
194
views
28 Sep 2019
Payroll Tax Entries
According to a summary of the payroll of Guthrie Co., $647,000 was subject to the 6.0% social security tax and $796,000 was subject to the 1.5% Medicare tax. Also, $21,000 was subject to state and federal unemployment taxes.
a. Calculate the employer's payroll taxes, using the following rates: state unemployment, 4.2%; federal unemployment, 0.6%.
b. Journalize the entry to record the accrual of payroll taxes. If an amount box does not require an entry, leave it blank.
Payroll Tax Entries
According to a summary of the payroll of Guthrie Co., $647,000 was subject to the 6.0% social security tax and $796,000 was subject to the 1.5% Medicare tax. Also, $21,000 was subject to state and federal unemployment taxes.
a. Calculate the employer's payroll taxes, using the following rates: state unemployment, 4.2%; federal unemployment, 0.6%.
b. Journalize the entry to record the accrual of payroll taxes. If an amount box does not require an entry, leave it blank.
8 Mar 2023
Sixta KovacekLv2
28 Sep 2019
Already have an account? Log in
Related questions
According to a summary of the payroll of Mountain Streaming Co., $770,000 was subject to the 6.0% social security tax and the 1.5% Medicare tax. Also, $42,000 was subject to state and federal unemployment taxes.
| Required: | |
| A. | Calculate the employerâs payroll taxes, using the following rates: state unemployment, 5.4%; federal unemployment, 0.8%. |
| B. | Journalize the entry to record the accrual of payroll taxes. Refer to the Chart of Accounts for exact wording of account titles. |
