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Juan's Mexican Restaurant incurred salaries expense of $60,000 for 2024. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $24,000 is subject to unemployment tax. Also, the company provides the following benefits for employees: health insurance (cost to the company, $2,400), life insurance (cost to the company, $340), and retirement benefits (cost to the company, 9% of salaries expense). i(Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Journalize Juan's expenses for employee benefits and for payroll taxes. Explanations are not required. Begin with the entry to accrue Juan's employer payroll taxes. (Round all amounts to the nearest cent. Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Payroll Tax Expense FICA-OASDI Taxes Payable FICA-Medicare Taxes Payable Federal Unemployment Taxes Payable State Unemployment Taxes Payable Debit Credit

Juan's Mexican Restaurant incurred salaries expense of $60,000 for 2024. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $24,000 is subject to unemployment tax. Also, the company provides the following benefits for employees: health insurance (cost to the company, $2,400), life insurance (cost to the company, $340), and retirement benefits (cost to the company, 9% of salaries expense). i(Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Journalize Juan's expenses for employee benefits and for payroll taxes. Explanations are not required. Begin with the entry to accrue Juan's employer payroll taxes. (Round all amounts to the nearest cent. Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Payroll Tax Expense FICA-OASDI Taxes Payable FICA-Medicare Taxes Payable Federal Unemployment Taxes Payable State Unemployment Taxes Payable Debit Credit

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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More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent Employee: Employer: OASDI: 6.2% on first $132,900 eamed; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. OASDI: 6.2% on first $132,900 earned per employee; Medicare: 1.45%; FUTA: 0.6% on first $7,000 eamed per employee; SUTA: 5.4% on first $7,000 earned per employee. Print Done X Explanati nearest ce Cred
Transcribed Image Text:More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent Employee: Employer: OASDI: 6.2% on first $132,900 eamed; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. OASDI: 6.2% on first $132,900 earned per employee; Medicare: 1.45%; FUTA: 0.6% on first $7,000 eamed per employee; SUTA: 5.4% on first $7,000 earned per employee. Print Done X Explanati nearest ce Cred
Juan's Mexican Restaurant incurred salaries expense of $60,000 for 2024. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $24,000 is subject to unemployment tax. Also, the company provides the following benefits for employees: health insurance (cost to the company, $2,400), life insurance (cost to the company, $340), and retirement benefits (cost to the company, 9% of salaries expense). h i(Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Journalize Juan's expenses for employee benefits and for payroll taxes. Explanations are not required. Begin with the entry to accrue Juan's employer payroll taxes. (Round all amounts to the nearest cent. Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts TERE Payroll Tax Expense FICA-OASDI Taxes Payable RETLE FICA-Medicare Taxes Payable Federal Unemployment Taxes Payable FILOFU ETIQUE State Unemployment Taxes Payable ATSTENT WAYS HOTL D DEL Debit Credit
Transcribed Image Text:Juan's Mexican Restaurant incurred salaries expense of $60,000 for 2024. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $24,000 is subject to unemployment tax. Also, the company provides the following benefits for employees: health insurance (cost to the company, $2,400), life insurance (cost to the company, $340), and retirement benefits (cost to the company, 9% of salaries expense). h i(Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Journalize Juan's expenses for employee benefits and for payroll taxes. Explanations are not required. Begin with the entry to accrue Juan's employer payroll taxes. (Round all amounts to the nearest cent. Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts TERE Payroll Tax Expense FICA-OASDI Taxes Payable RETLE FICA-Medicare Taxes Payable Federal Unemployment Taxes Payable FILOFU ETIQUE State Unemployment Taxes Payable ATSTENT WAYS HOTL D DEL Debit Credit
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