Below is a payroll sheet for Otis Import Company for the month of September 2014. The company is allowed a 1% unemployment compensation rate by the state; thefederal unemployment tax rate is 0.8% and the maximum for both is $7,000. Assume a 10% federal income tax rate for all employees and a 7.65% FICA tax on employeeand employer on a maximum of $113,700. In addition, 1.45% is charged both employer and employee for an employee's wages in excess of $113,700 per employee. Complete the payroll sheet.NameEarningsto AugustSeptemberEarningsIncome TaxWitholding31B.D.$6,540$900WilliamsD. Raye6,510800K. Baker7,6301,100F. Lopez13,8001,900A.108,00013,700DanielsB.112,55017,500KingstonTotalStateFICA UnemploymentTaxFederalUnemploymentTax

Payroll refers to the aggregate compensation payable by the company to its employees for a certain…

Complete the payroll sheet. Name Earnings to August 31 September Earnings Income Tax Witholding B.D. $6,540 $900 Williams D. Raye 6,510 800 K. Baker 7,630 1,100 F. Lopez 13,800 1,900 A. 108,000 13,700 Daniels B. 112,550 17,500 Kingston Total State FICA Unemployment Tax Federal Unemployment Tax

Complete the payroll sheet. Name Earnings to August 31 September Earnings Income Tax Witholding B.D. $6,540 $900 Williams D. Raye 6,510 800 K. Baker 7,630 1,100 F. Lopez 13,800 1,900 A. 108,000 13,700 Daniels B. 112,550 17,500 Kingston Total State FICA Unemployment Tax Federal Unemployment Tax

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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Question

Below is a payroll sheet for Otis Import Company for the month of September 2014. The company is allowed a 1% unemployment compensation rate by the state; the
federal unemployment tax rate is 0.8% and the maximum for both is $7,000. Assume a 10% federal income tax rate for all employees and a 7.65% FICA tax on employee
and employer on a maximum of $113,700. In addition, 1.45% is charged both employer and employee for an employee's wages in excess of $113,700 per employee.

Complete the payroll sheet.
Name
Earnings
to August
September
Earnings
Income Tax
Witholding
31
B.D.
$6,540
$900
Williams
D. Raye
6,510
800
K. Baker
7,630
1,100
F. Lopez
13,800
1,900
A.
108,000
13,700
Daniels
B.
112,550
17,500
Kingston
Total
State
FICA Unemployment
Tax
Federal
Unemployment
Tax

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