Opex Company has monthly salaries of $36,000. Assume Opex pays all the standard payroll taxes, no employees have reached the payroll tax limits, total income tax withheld is $2,000, and the only payroll deductions are payroll taxes. Journalize the accrual of salaries expense, accrual of employer payroll taxes, and payment of employee and employer payroll taxes for Opex Company. (Assume all of the monthly salary is subject to FUTA and SUTA. Record debits first, then credits. Select the explanation on the last line of the journal entry table.) More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. Employer: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned. Begin with the entry to accrue salaries expense and payroll withholdings for the employee. Date Accounts and Explanation Debit Credit
Opex Company has monthly salaries of $36,000. Assume Opex pays all the standard payroll taxes, no employees have reached the payroll tax limits, total income tax withheld is $2,000, and the only payroll deductions are payroll taxes. Journalize the accrual of salaries expense, accrual of employer payroll taxes, and payment of employee and employer payroll taxes for Opex Company. (Assume all of the monthly salary is subject to FUTA and SUTA. Record debits first, then credits. Select the explanation on the last line of the journal entry table.) More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. Employer: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned. Begin with the entry to accrue salaries expense and payroll withholdings for the employee. Date Accounts and Explanation Debit Credit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Opex
Company has monthly salaries of
$36,000.
Assume
Opex
pays all the standard payroll taxes, no employees have reached the payroll tax limits, total income tax withheld is
$2,000,
and the only payroll deductions are payroll taxes. Journalize the accrual of salaries expense, accrual of employer payroll taxes, and payment of employee and employer payroll taxes for
Opex
Company. (Assume all of the monthly salary is subject to FUTA and SUTA. Record debits first, then credits. Select the explanation on the last line of the More info
For all payroll calculations, use the following tax rates and round amounts to the nearest cent:
|
Employee:
|
OASDI:
6.2%
on first
$132,900
earned; Medicare:
1.45%
up to
$200,000,
2.35%
on earnings above
$200,000.
|
|
Employer:
|
OASDI:
6.2%
on first
$132,900
earned; Medicare:
1.45%;
FUTA:
0.6%
on first
$7,000
earned; SUTA:
5.4%
on first
$7,000
earned. |
Begin with the entry to accrue salaries expense and payroll withholdings for the employee.
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Accounts and Explanation
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Credit
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