Compute PayrollFloatin Away Company has three employees-a consultant, a computer programmer, and an administrator. The following payroll information is available for eachemployee:Regular earnings rateOvertime earnings rate*Number of withholding allowancesConsultantComputer ProgrammerAdministrator$3,010 per week$30 per hour$50 per hourNot applicable1.5 times hourly rate2 times hourly rate321*For hourly employees, overtime is paid for hours worked in excess of 40 hours per week.For the current pay period, the computer programmer worked 60 hours and the administrator worked 50 hours. The federal income tax withheld for all three employees,who are single, can be determined by adding $276.54 to 24% of the difference between the employee's amount subject to withholding and $1,692.00. Assume furtherthat the social security tax rate was 6.0%, the Medicare tax rate was 1.5%, and one withholding allowance is $81.Determine the gross pay and the net pay for each of the three employees for the current pay period. Assume the normal working hours in a week are 40 hours. Ifrequired, round your answers to two decimal places.ConsultantGross pay$Net payComputer Programmer$Administrator

The objective of the question is to calculate the gross pay and net pay for each of the three…

Answered: Compute Payroll Floatin Away Company…

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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JOURNALIZING AND POSTING PAYROLL ENTRIES Oxford Company has fiveemployees. All are paid on a monthly basis. The fiscal year of the business is June 1 to May 31.The accounts kept by Oxford Company include the following: Required1. Journalize the preceding transactions using a general journal.2. Open T accounts for the payroll expenses and liabilities. Enter the beginning balances and post the transactions recorded in the journal.
Oriole Company has the following data for the weekly payroll ending January 31.
Compute Payroll An employee earns $32 per hour and 1.75 times that rate for all hours in excess of 40 hours per week. Assume that the employee worked 60 hours during the week. Assume further that the social security tax rate was 6.0%, the Medicare tax rate was 1.5%, and federal income tax to be withheld was $552. a. Determine the gross pay for the week. b. Determine the net pay for the week. Round your answer to two decimal places.
P4-5 A manufacturing company's payroll register shows following information for December: Salary paid to marketing department, P40,000 (10 employees) Wages paid to labor, P100,000 Insurance is fully paid by company, P10,000 per month Company has a policy to award a fully paid one week vacation to best employee of the year from marketing department with a bonus of P1,500. Required: Assuming that current period has completed, prepare all necessary journal entries to record the payroll on December 31st.
K. Mello Company has three employees-a consultant, a computer programmer, and an administrator. The following payroll information is available for each employee: Line Item Description Consultant Computer Programmer Administrator Regular earnings rate $2,510 per week $36 per hour $46 per hour Overtime earnings rate Not applicable 2 times hourly rate 1.5 times hourly rate Federal income tax withheld $925 $252 $495 For hourly employees, overtime is paid for hours worked in excess of 40 hours per week. For the current pay period, the computer programmer worked 55 hours and the administrator worked 64 hours. Assume that the social security tax rate was 6.0%, and the Medicare tax rate was 1.5%. Determine the gross pay and the net pay for each of the three employees for the current pay period. Assume the normal working hours in a week are 40 hours. When required round intermediate calculations and final answers to two decimal places. Line Item Description Consultant Computer…
P10-2B. Nickels Company of Windsor has five salaried employees. Your task is to record the following information in a payroll register for the last week of March. Use the tables in the chapter appendices to determine deductions. Employee Frank Suko Department Claim Code Weekly Salary $ 580 Sales Alberta Nobel Office 1 1,130 Jeremy Vijayan Nancy James Office Sales 4 560 Assume that each employee contributes $14 per week for union dues. Completing the payroll register
Dish Pan Company has 4 employees. Information about the third week in November payroll follows:NameHours WorkedPay RateFederal IncomeTax WithheldAnnual EarningsPrior to this checkRichards, B.40$75 per hour$300$138,000Matthews, M.42$80 per hour$320$140,000Ramon, C.44$82 per hour$355$0Wong, S.46$90 per hour$372$151,000Additional information is as follows:The state income tax rate is 4%. Employees' federal income tax withholdings depend on various factors, and the amounts are as indicated in the above table.Overtime is paid at 150% (time and a half) of the normal hourly rate.Assume that gross pay is subject to social security taxes at a 6.5% rate, on an annual base of $142,800. Assume that Medicare/Medicaid taxes are 1.45% of gross earnings. These taxes are matched by the employer. Dish Pan has 100% participation in a $10 per paycheck employee charitable contribution program. These contributions are withheld from weekly pay.Dish Pan's payroll is subject to federal (0.6%) and state…
2
Direction: Show the journal entries in the transactions given below. If the problem is silent about the overtime premium use the minimum 25%. Half human, half zombie for president manufacturing corp. A newly established business had the following transaction for the 1st month of its operation: A. Purchase of raw materials on account amounting to P650,000 B. Details for computation of payroll for the month are as follows: DIRECT LABOR INDIRECTLABOR SELLING AND ADMINPERSONNEL NUMBER OF EMPLOYEES 30 6 12 RATE PER DAY P600 P800 P500 TOTAL NUMBER OF REGULAR HOURSWORKED 5,280 1,056 2,112 TOTAL NUMBER OF OVERTIME 125 10 0 TAX WITHHELD P0.00 P0.00 P0.00 MANDATORY CONTRIBUTIONS - EMPLOYEE P23,600 P5,320 P9,600 MANDATORY CONTRIBUTIONS -EMPLOYER P43,820 P9,880 P17,820 C. 60% of overtime work is because of rush jobs d. Factory overhead is applied at 80% of direct labor e. Only 90% of raw materials available for use was issued to production (25% indirect materials) f.…
Vaughn Company has the following data for the weekly payroll ending January 31. Employee M T L. Helton R. Kenseth D. Tavaras 9 (a) 7 7 9 10 10 Hours W T 9 7 F 10 S 2 7 7 8 5 8 8 8 0 Hourly Rate $12 14 15 Federal Income Tax Withholding $32 39 54 Health Insurance $10 27 Prepare the payroll register for the weekly payroll. (Round answers to 2 decimal places, e.g. 15.25.) 26 Cumulative Earnings (Jan. 1- 24) $1,440 1,722 Employees are paid 1½ times the regular hourly rate for all hours worked in excess of 40 hours per week. The 7.65% FICA tax rate consists of the Social Security tax rate of 6.2% on salaries and wages up to $128,400 and the Medicare tax rate of 1.45% on all salaries and wages. 1,800
Problem 2. A weekly payroll summary made from time tickets shows the following data: A weekiy payroii sumimai y mauv - Exemption Status 學了實TT Number of Hours Rate/Hour Regular Overtime 36 Employee Austria, B. Bautista, D. De Santos, M. Motus, R. Reyes, A. Classification Direct Direct Direct Indirect 40 P. 36 45 40 40 3 МЕ МЕ-2 HF 4 30 40 4 Indirect 30 40 HF Overtime is payable at one-and-a-half times the regular rate of pay for an employee. Required a) Determine the net pay for each employee.
Payroll Register and Payroll Journal Entry Mary Losch operates a travel agency called Mary’s Luxury Travel. She has five employees, all of whom are paid on a weekly basis. The travel agency uses a payroll register, individual employee earnings records, and a general journal. Mary’s Luxury Travel uses a weekly federal income tax withholding table. Refer to Figure 8-4 in the text. The payroll data for each employee for the week ended March 22, 20—, are shown. Employees are paid 1½ times the regular rate for working over 40 hours a week. Name No. ofAllowances MaritalStatus Total HoursWorked Mar. 16–22 Rate Total EarningsJan. 1–Mar. 15 Bacon, Andrea 4 M 45 $12.00 $5,540.00 Cole, Andrew 1 S 40 12.00 5,860.00 Hicks, Melvin 3 M 44 10.50 4,960.00 Leung, Cara 1 S 35 11.00 5,144.50 Melling, Melissa 2 M 40 13.00 4,732.00 Social Security tax is withheld from the first $128,400 of earnings at the rate of 6.2%. Medicare tax is withheld at the rate of 1.45%, and city earnings tax at…

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