Samuel's Mexican Restaurant incurred salaries expense of $ 64,000 for 2018. The payroll expense includes employer FICA tax, in

Question

3 years ago

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Samuel's Mexican Restaurant incurred salaries expense of $ 64,000 for 2018. The payroll expense includes employer FICA tax, in

addition to state unemployment tax and federal unemployment tax. Of the total salaries, $ 15,000 is subject to unemployment tax. Also, the company provides the following benefits for employees: health insurance (cost to the company, $ 2,100), life insurance (cost to the company, $ 320), and retirement benefits (cost to the company, 9% of salaries expense).
Required:
a. Journalize Samuel's expenses for employee benefits and for payroll taxes. Explanations are not required.
b. What was Ricardo's total expense for 2018 related to payroll?

Business

1 answer:

barxatty [35] · Answer 1 · 2022-02-24T16:24:23+03:00

Answer:

SAMUEL's MEXICAN RESTAURANT

Date Description DR CR

2018 Salaries expenses 64,000

Decduction 15,000

cash 49,000

Employee benefit 8,180

Health insurance 2100

Life Insurance 320

Retirement benefit 5760

Explanation:

Samuel's Mexican Restaurant incurred salaries expense of $ 64,000 for 2018. The payroll expense includes employer FICA​ tax, in

Samuel's Mexican Restaurant incurred salaries expense of $ 64,000 for 2018. The payroll expense includes employer FICA tax, in