+1-415-670-9189
info@expertsmind.com
On january 8 the end of the first weekly pay period of the
Course:- Accounting Basics
Reference No.:- EM13601504




Assignment Help
Assignment Help >> Accounting Basics

On January 8, the end of the first weekly pay period of the year, Royal Company's payroll register showed that its employees earned $11,380 of office salaries and $32,920 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%, $6,340 of federal income taxes, $670 of medical insurance deductions, and $420 of union dues. No employee earned more than $7,000 in this first period.

Required
1.Calculate FICA Social Security taxes payable and FICA Medicare taxes payable. Prepare the journal entry to record Royal Company's January 8 payroll expenses and liabilities.

2.Prepare the journal entry to record Royal's (employer) payroll taxes resulting from the January 8 payroll. Royal's merit rating reduces its state unemployment tax rate to 4% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.8%.




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Accounting Basics) Materials
Why can't optimal regulation be determined? If optimal accounting regulation cannot be determined, how can a regulatory body such as the SEC or FASB make good decisions?
Conduct some online research and locate a job requirement for a position that is local to you. Is a specific degree level required for this position? If so, what degree is r
LO.5 & LO.7 (CGM; journal entries) Weatherguard manufactures mailboxes. The following data represent transactions and balances for December 2010, the company's ?rst month of
Brandywine Homecare, a not-for-profit business, had revenues of $12 million in 2007. Expenses other than depreciation totaled 75 percent of revenues, and depreciation expens
Evaluate the EMR product and create an estimation on how long a system implementation would take for a group practice of 5 full time Physicians that are very knowledgeable a
Depreciation of general property, plant, and equipment is reported as an expense in the consolidated U. S. government statement of net cost, but not in the statement of net
What was the total selling price of the preferred stock? The preferred stock is noncumulative. How much will be distributed to the preferred and common stockholders on the da
As an administrator, you need to assess this situation: How would you determine if there was a true need for another receptionist? Do you need to reinstate the position or c