Peyton Company's payroll for the year is $737,910. Of this amount, $472,120 is for wages paid in excess of $7,000 to each individual employee. The SUTA rate in Peyton Company's state is 2.9% on the first $7,000 of each employee's earnings. Compute: Net FUTA tax $________ Net SUTA tax $_________ Total unemployment taxes $________

Q: BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its…

A: Payroll: It implies to a list of all the employees working in a company and the total compensation…

Q: The SUTA rate for Thomson Temp Agency is 5.4% and its FUTA rate is 6% less the 5.4% SUTA credit. If…

A: SUTA and FUTA taxes are taxes to be paid to state government.These are levied on employees payroll.

Q: a. Purnell, Inc., has a semimonthly payroll of $53,900 on September 15, 20--. The total payroll is…

A: Payroll: Payroll refers to the total amount that is required to be paid by the company to its…

Q: 1. Paying payroll 2. Recording employer payroll taxes 3. Paying employee and employer payroll taxes…

A: Let’s analyze the effects on net assets and Earnings per Share (EPS) for each of the…

Q: Lopez Company has a single employee, who earns a salary of $2,500 per pay perlod (or $60,000 per…

A: Given that: Salaries Expense = $2500 per pay period

Q: Selected information from the payroll register of Barbara's Stables for the week ended September 28,…

A: Tax liability: It is the total amount of tax owed is a given period, by individuals and…

Q: Total payroll of a company was $2,820,000, of which $510,000 represented amounts paid in excess of…

A: Gross  Multiply: FICA rate   Wages to $128,400 (2820000-510000)          2,310,000 7.65%…

Q: a) Tax FUTA SUTA Compute BMX's amounts for each of these four taxes as applied to the employee's…

A: Social Security Tax: The Social Security and Medicare systems are paid for using money collected…

Q: Ultimate Accounting Services has the following payroll information for the week ending in December…

A: Wages: Wages are the earnings of the employees for their work to the company they serve. These are…

Q: Carmen Santos is owner and sole employee of CS Corporation. He pays himself a salary of $2,400 this…

A: When a company records the compensation of its employees, such type of accounting is known as…

Q: Runner Company incurred the following amounts for their most recent pay period for employee gross…

A: Payroll taxes are taxes imposed on employers or employees, and are usually calculated as a…

Q: Kip Bowman is owner and sole employee of KB Corporation. He pays himself a salary of $1,500 each…

A: Federal income taxes (FIT) are imposed in USA. Tax is calculated by applying tax rates which…

Q: BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $128,400 paid to its…

A: Journal entry is the process of documenting commercial transactions for the first time in the books…

Q: BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its…

A: The objective of the question is to calculate the FICA Social Security, FICA Medicare, FUTA, and…

Q: For all payroll calculations, use the following tax rates and round amounts to the nearest cent.…

A: Payroll taxes are taxes that are paid by employer and employee on the amount of salaries paid to…

Q: during the year, plum company has a SUTA tax rate of 4.8%. The taxable payroll for the year for FUTA…

A: FUTA (Federal Unemployment Tax Act) and SUTA (State Unemployment Tax Act) are payroll taxes that…

Q: Complete Accounting Services has the following payroll information for the week ended December 7.…

A: Wages: Wages are the earnings of the employees for their work to the company they serve. These are…

Q: For all payroll calculations, use the following tax rates and round amounts to the nearest cent…

A: 1. Calculate Person L's net pay:

Q: Required information [The following information applies to the questions displayed below.] BMX…

A: Calculate the taxes to be withheld from gross pay:

Q: For all payroll calculations, use the following tax rates and round amounts to the nearest cent…

A: Given information is: On July 5, Williams Company recorded sales of merchandise inventory on account…

Q: [The following information applies to the questions displayed below.] BMX Company has one employee.…

A: Gross earnings is the amount before any deductions but after expenses. It is sales revenue less cost…

Q: On September 30, Cody Company's selected account balances are as follows: Employees' Federal Income…

A: Journal entries are the basic foundation of financial statements in which at least two accounts are…

Q: Haggerty Company pays its salaried employees monthly on the last day of each month. The annual…

A: Social Security is essentially a benefit given to older workers, the disabled as well as their…

Q: (The following information applies to the questions displayed below.] BMX Company has one employee.…

A: Journal entry is to primary step to record transaction in the books of account. The amount debit and…

Q: According to a summary of the payroll of Guthrie Co., $560,000 was subject to the 6.0% social…

A: A payroll tax is a tax  deducted (withheld) by an employer from an employee's salary who pays it to…

Q: An employee earned $50,000 during the year. FICA tax for Social Security is 6.2% and FICA tax for…

A: FICA tax is contributed both the employees and the employer with 6.2% of social security tax till…

Q: An employee earned $62,500 during the year working for an employer. The FICA tax rate for Social…

A: Step 1 The unemployment taxes (FUTA) of $42 is obtained by multiplying the earnings of $7,000 with…

Q: Journalize payroll taxThe payroll register of Heritage Co. indicates $4,200 of social security…

A: The payroll accounting includes the recording of the payroll expenses, employees'…

Q: John Jansen, an employee of Redwood Company, had gross earnings for the month of May of $4,000. FICA…

A: FICA (Federal insurance contributions act) is the deduction of some percentage out of the gross…

Q: Required Information [The following information applies to the questions displayed below.] BMX…

A: Payroll Accounting is the accounting for the total earnings of the employees, total tax deductions,…

Q: BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its…

A: The calculation related to FUTA and SUTA are made in the excel sheet and the calculation work is…

Q: BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its…

A: Journal entry is the process of documenting commercial transactions for the first time in the books…

Q: Rand Company’s payroll on December 31 of the current year is as follows: • total payroll, $500,000 •…

A: Introduction:- Preparation of the journal entries for Rand’s payroll and payroll taxes as follows:-…

Q: Qwan Company's payroll for the year is $737,910. Of this amount, $472,120 is for wages paid in…

A: Introduction:- The following basic information as follows:- The SUTA rate in Qwan Company's state…

Q: According to a summary of the payroll of PJW Co., $380,500 in earnings were subject to the 7.7% FICA…

A: Total payroll taxes include FICA taxes payable, state and federal unemployment taxes payable.

Q: Runner Company incurred the following amounts for their most recent pay period for employee gross…

A: Lets understand the basics. Gross pay is an amount payable to worker for work before taking into…

Q: Peyton Company's payroll for the year is $741,150. Of this amount, $472,770 is for wages paid in…

A: Federal income taxes are imposed in USA. The income tax is calculated by implementing tax rate which…

Q: William Corp. pays its employees every two weeks. Employee wages earned over a two-week period is…

A: Particular     Debit ($)       Credit ($)…

Q: Kip Bowman is owner and sole employee of KB Corporation. He pays himself a salary of $1,500 each…

A: The amount that the employers pays the employee is known as gross wages and there are a lot of…

Payroll Entries

Payroll is a comprehensive record of employees that are paid by the company. Payroll classifies employees into various categories according to their function and pays scale (basic wage, allowance, income tax, other taxes, employee loans, etc.). Payroll processes form the bedrock of every organization as it contains sensitive information on the ‘wage and paycheck’ portion of the company’s strength—its employees. The organization needs to keep a track of the employees currently on the payroll, the net payout for the company, the record of transactions related to the employees including deductions and payroll taxes to identify the liability and its effect on the balance sheet (and other financial statements). Payroll records also include qualitative factors such as the conduct of the employee.