(a)(1)
Federal Insurance Contributions Act (FICA) Tax: It is a tax applicable on employees’ earnings as a certain percentage. Employers are also supposed to contribute their share and deposit the combined amount to the federal body.
Gross Earnings: It is the amount of employee’s total earnings during a period. It includes fixed wage or salary plus overtime pay or any bonus or commission if applicable.
Net Pay: It is the amount an employee actually receives as the salary or wage payment for a particular period. It is calculated after all the statutory and voluntary deductions by the employer.
Journal Entries: Entries to record the financial transactions during each accounting period are called journal entries. Income, liabilities and the giver are credited if the balance is increased and debited if the balance is reduced Expenses, assets and the receiver is debited if the balance is increased and credited if the balance is reduced in a journal entry.
To compute: To compute the gross earnings for M.
(2)
To compute: The federal insurance contributions act taxes (FICA) on the earnings of M.
(3)
To compute: The federal income tax withheld as per the withholding table.
(4)
To compute: The state income tax withheld.
(5).
To compute: The net pay for M.
(b).
To record: The pay of M.
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Chapter 11 Solutions
ACCT.PRINCIPLES-WILEYPLUS NEXTGEN
- Hello teacher please solve this question general accountingarrow_forwardHii ticher please given answer general accounting questionarrow_forwardx pg | Hc Ho Le We Bai Ba FA Ma Me Lo Lo | zto.mheducation.com/ext/map/index.html?_con con&external_browser=0&launchUrl=https%253A%252F%252Fconnect.mheducation.com%252Fconnect%252Fltiwr ent 01 k Saved As of December 31, Year 1, Moss Company had total cash of $164,000, notes payable of $86,400, and common stock of $53,200. During Year 2, Moss earned $44,000 of cash revenue, paid $24,000 for cash expenses and paid a $3,800 cash dividend to the stockholders. Required a. Determine the amount of retained earnings as of December 31, Year 1. b. & c. In the accounting equation table, record the beginning account balances, revenue, expense, and dividend events under the appropriate headings of the accounting equation. d. Complete the table below to prove the equality of the accounting equation as of December 21, Year 2.1 e. Identify the beginning and encing balances in the Cash and Common Stock accounts. Enter the effect of each transaction on these accounts tu demonstrate why the beginning and…arrow_forward
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