Gilpin, Inc.'s payroll for November 2020 is summarized as follows: Amount of Wages Subject to Payroll Taxes Total Wages Federal Income Tax Withheld F.I.C.A. Unemployment $653,000 $127,200 $590,000 $74,000 The FICA rate is 7.65% each for the employer and the employee. Gilpin is subject to a total unemployment tax rate of 3.5%. What amount should Gilpin report as its liability for the employer's share of payroll taxes (exclude the employee's share) on its balance sheet as of November 30, 2020?
Gilpin, Inc.'s payroll for November 2020 is summarized as follows: Amount of Wages Subject to Payroll Taxes Total Wages Federal Income Tax Withheld F.I.C.A. Unemployment $653,000 $127,200 $590,000 $74,000 The FICA rate is 7.65% each for the employer and the employee. Gilpin is subject to a total unemployment tax rate of 3.5%. What amount should Gilpin report as its liability for the employer's share of payroll taxes (exclude the employee's share) on its balance sheet as of November 30, 2020?
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter3: Accounting For Labor
Section: Chapter Questions
Problem 7E: Davis, Inc. paid wages to its employees during the year as follows: a. How much of the total payroll...
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Gilpin, Inc.'s payroll for November 2020 is summarized as follows:
| Amount of Wages Subject to Payroll Taxes | |||
| Total Wages | Federal Income Tax Withheld | F.I.C.A. | |
| $653,000 | $127,200 | $590,000 | $74,000 |
The FICA rate is 7.65% each for the employer and the employee.
Gilpin is subject to a total unemployment tax rate of 3.5%.
What amount should Gilpin report as its liability for the employer's share of payroll taxes (exclude the employee's share) on its
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