Question

The following totals for the month of June were taken from the payroll records of Seminole Company: Salaries, $100,000 FICA taxes withheld, $7,650 Income taxes withheld, $18,000 Federal unemployment taxes, $450 State unemployment taxes, $2,100 The entry to record accrual of employer’s payroll taxes would include a

Answer 1

Answer:

Given that,

Salaries = $100,000

FICA taxes withheld = $7,650

Income taxes withheld = $18,000

Federal unemployment taxes = $450

State unemployment taxes = $2,100

Therefore,

Payroll Tax Expense:

= FICA taxes withheld + Federal unemployment taxes + State unemployment taxes

= $7,650 + $450 + $2,100

= $10,200

The journal entry is as follows:

Payroll Tax Expense A/c                 Dr. $10,200

To FICA taxes withheld                                          $7,650

To Federal unemployment taxes                           $450

To State unemployment taxes                               $2,100

(To record accrual of employer’s payroll taxes)