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Assuming situation (a), prepare the employer's September 30 journal entry to record salary expense a

Assuming situation (a), prepare the employer's September 30 journal entry to record salary expense a

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Gadubhai 

BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. a. b. C. Gross Pay through August 31 $ 5,800 2,300 132,700 Gross Pay for September $ 1,400 2,400 9,300 Assuming situation (a), prepare the employer's September 30 journal entry to record salary expense and its related payroll liabilities for this employee. The employee's federal income taxes withheld by the employer are $90 for this pay period. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Taxes to be Withheld From Gross Pay General Journal Assuming situation (a), prepare the employer's September 30 journal entry to record salary expense and its related payroll liabilities for this employee. The employee's federal income taxes withheld by the employer are $90 for this pay period. Note: Round your answers to 2 decimal places. No Date 1 September 30 Salaries expense General Journal Debit 2,000.00 Credit 124.00 × 29.00 1,202.90 90.00 FICA-Social security taxes payable FICA-Medicare taxes payable Salaries payable Employee federal income taxes payable < Taxes to be withheld From Gross Pay General Journal >
Transcribed Image Text:BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. a. b. C. Gross Pay through August 31 $ 5,800 2,300 132,700 Gross Pay for September $ 1,400 2,400 9,300 Assuming situation (a), prepare the employer's September 30 journal entry to record salary expense and its related payroll liabilities for this employee. The employee's federal income taxes withheld by the employer are $90 for this pay period. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Taxes to be Withheld From Gross Pay General Journal Assuming situation (a), prepare the employer's September 30 journal entry to record salary expense and its related payroll liabilities for this employee. The employee's federal income taxes withheld by the employer are $90 for this pay period. Note: Round your answers to 2 decimal places. No Date 1 September 30 Salaries expense General Journal Debit 2,000.00 Credit 124.00 × 29.00 1,202.90 90.00 FICA-Social security taxes payable FICA-Medicare taxes payable Salaries payable Employee federal income taxes payable < Taxes to be withheld From Gross Pay General Journal >
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