McLoyd Company completed the salaries and wages payroll for March. The payroll provided the following details:Salaries and wages earnedEmployee income taxes withheldFICA taxes withheldUnemployment taxesRequired:1. Considering both employee and employer payroll taxes, use the preceding information to calculate the total laborcost for the company for March.2. & 3. Prepare the journal entry to record the payroll for March, including employee deductions (but excludingemployer payroll taxes) and record employer's FICA taxes and unemployment taxes.Complete this question by entering your answers in the tabs below.Req 1$ 400,00037,00028,6002,780Req 2 and 3Total Labor CostConsidering both employee and employer payroll taxes, use the preceding information to calculate the total labor cost for thecompany for March. Prepare the journal entry to record the payroll for March, including employee deductions (but excluding employer payroll taxes) arecord employer's FICA taxes and unemployment taxes. (If no entry is required for a transaction/event, select "No Journal EntryRequired" in the first account field.)View transaction listJournal entry worksheet12Record the payroll for March including employee deductions: Salaries andwages earned, $400,000; Employee income taxes withheld, $37,000; FICAtaxes withheld, $28,600; Unemployment taxes, $2,780.Note: Enter debits before credits.DateMarch 31General JournalDebitCredit>

JOURNAL ENTRIES Journal Entry is the First stage of Accounting Process. Journal Entry is the…

Answered: McLoyd Company completed the salaries…

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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Recording Employee Payroll On January 15, the end of the first biweekly pay period of the year, Chen Company's payroll register showed that its employees earned $35,000 of sales salaries. Withholdings from the employees' salaries include FICA Social Security taxes at the rate of 6.2%, FICA Medicare taxes at the rate of 1.45%, $6,500 of federal income taxes, $772.50 of medical insurance deductions, and $120 of union dues. No employee earned more than $7,000 in this first period. Prepare the journal entry to record Chen Company's January 15 (employee) payroll expenses and liabilities. (Round amounts to cents.)
P3-10 Summary of payroll procedures Megerle Custom Cabinet Co. uses the job order cost system. In recording payroll transactions, the following accounts are used: Cash Wages Payable FICA Tax Payable Federal Unemployment Tax Payable State Unemployment Tax Payable Employees Income Tax Payable Payroll Administrative Salaries Miscellaneous Administrative Expense Sales Salaries Miscellaneous Selling Expense Factory Overhead Work in Process Factory employees are paid weekly, while all other employees are paid semimonthly on the fifteenth and the last day of each month. All salaries and wages are subject to all taxes. The income tax withheld amounts to 10% of gross wages. Following is a narrative of transactions completed during January: Jan.7 Recorded total earnings of factory employees amounting to $68,200, less deductions for employees’ income taxes and FICA taxes. 7 Issued check for payment of the payroll. 14 Recorded total earnings of factory employees amounting to $66,300, less…
In January, the payroll supervisor determines that gross earnings for Pharoah Company are $64,000. All earnings are subject to 7.65% FICA taxes, 5.4% state unemployment taxes, and 0.6% federal unemployment taxes.Pharoah asks you to record a journal entry for the employer payroll taxes. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 2 decimal places, e.g. 12.25.) Account Titles and Explanation Debit Credit enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount
Sheffield Consulting Inc's gross salaries for the biweekly period ended August 24 were $12,500. Deductions included $743 for CPP, $235 for El, and $6,248 for income tax. The employer's payroll costs were $743 for CPP and $329 for El. Prepare journal entries to record (a) the payment of salaries on August 24; (b) the employer payroll costs on August 24, assuming they will not be remitted to the government until September; and (c) the payment to the government on September 15 of all amounts owed. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries.) No. Date Account Titles and Explanation Debit Cred (a) (b) 15 (b) (c)
The following totals for the month of April were taken from the payroll records of Metz Company. Salaries $90,000 FICA taxes withheld 6,885 Income taxes withheld 19,800 Medical insurance deductions 3,600 Federal unemployment taxes 720 State unemployment taxes 4,500 The entry to record the payment of net payroll would include a: a) debit to Salaries and Wages Payable for $54,495. b) debit to Salaries and Wages Payable for $59,715 c) debit to Salaries and Wages Payable for $55,21 d) credit to Cash for $55,215
Journal entry Complete the following Prepare the journal entries as of January 12 to record the payroll taxes for the week ending January 8. Credit salaries payable for the total net pay. Prepare the journal entry to record the payment of the payroll on January 14 when the paychecks are distributed to all workers
The following totals for the month of April were taken from the payroll register of Magnum Company. Salaries $12,000 FICA taxes withheld 900 Income taxes withheld 2,500 Medical insurance deductions 450 Federal unemployment taxes 32 State unemployment taxes 216 The journal entry to record the monthly payroll on April 30 would include a a.debit to Salaries Payable for $8,150 b.debit to Salaries Payable for $7,902 c.credit to Salaries Payable for $8,150 d.debit to Salaries Expense for $7,902
The following totals for the month of April were compiled from the payroll data of Magnum Company: Salaries $10,000 FICA taxes withheld 750 Income taxes withheld 2,000 Medical insurance deductions 450 Unemployment taxes 420 The journal entry for the accrual of the employer’s payroll taxes would include a a.debit to Payroll Tax Expense for $1,620 b.credit to Payroll Tax Expense for $420 c.debit to Payroll Tax Expense for $1,170 d.debit to FICA Taxes Payable for $1,500
Willamette Manufacturing estimated that its total payroll for the coming year would be $670,000. The workers' compensation insurance premium rate is 0.3%. Required: 1. Calculate the estimated workers' compensation insurance premium.$ Prepare the journal entry for the payment as of January 2, 20--. Page: DATE ACCOUNT TITLE DOC. NO. POST. REF. DEBIT CREDIT 1 20--Jan. 2 1 2 2 3 Paid estimated workers' compensation insurance premium 3 2. Assume that Willamette Manufacturing's actual payroll for the year was $694,000. Calculate the total insurance premium owed.$ Prepare a journal entry as of December 31, 20--, to record the adjustment for the underpayment. The actual payment of the additional premium will take place in January of the next year. Page: DATE ACCOUNT TITLE DOC. NO. POST. REF. DEBIT CREDIT 1 20--Dec. 31 1 2 2 3 Adjustment for insurance premium…
The following totals for the month of April were taken from the payroll records of Sunland Service Company. Salaries FICA taxes withheld Income taxes withheld Medical insurance deductions Federal unemployment taxes State unemployment taxes $116000 OOO 8874 24200 4350 310 2088 The entry to record the payment of net payroll would include a debit to Salaries and Wages Payable for $69702. debit to Salaries and Wages Payable for $76488. debit to Salaries and Wages Payable for $78576. credit to Cash for $87450.
Sheffield Hardware has four employees who are paid on an hourly basis plus time-and-a-half for all hours worked in excess of 40 a week. Payroll data for the week ended March 15 are presented below. Employee HoursWorked HourlyRate FederalIncome TaxWithholdings UnitedFund CumulativeEarnings(Jan. 1–Mar. 7) Ben Abel 40 $15 $? $5 3,000 Rita Hager 42 16 ? 5 3,000 Jack Never 44 13 60 8 3,000 Sue Perez 46 13 61 5 3,000 Abel and Hager are married. They claim 0 and 4 withholding allowances, respectively. 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. State income taxes are 3%. (a) Prepare a payroll register for the weekly payroll. (Round answers to 2 decimal places, e.g. 15.25.) MARRIED Persons ― WEEKLY Payroll Period (For Wages…
Beamon Corporation had the following payroll for April: Officers' salaries $34,000 Sales salaries 68,000 Federal income taxes withheld 21,000 FICA taxes withheld 9,500 Health insurance premiums withheld 1,800 Union dues withheld 1,400 Salaries (included above) subject to federal unemployment taxes 57,000 Salaries (included above) subject to state unemployment taxes 62,000 RequiredPrepare journal entries on April 30 to record:a. Accrual of the monthly payroll.b. Payment of the net payroll.c. Accrual of employer's payroll taxes. (Assume that the FICA tax matches the amount withheld, the federal unemployment tax is 0.6 percent, and the state unemployment tax is 5.4 percent.)d. Payment of all liabilities related to this payroll. (Assume that all are settled at the same time.) Part A Part B Part C Part D General Journal Date Description Debit Credit Apr.30 Answer Answer Answer Sales Salaries Expense Answer Answer Answer Answer Answer FICA…

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