Question

The following is a payroll sheet for Windsor Imports for the month of September 2020. The company is allowed a 1% unemployment compensation rate by the state; the federal unemployment tax rate is 0.8% and the maximum for both is $7,000. Assume a 10% federal income tax rate for all employees and a 7.65% FICA tax on employee and employer on a maximum of $128,400. In addition, 1.45% is charged both employer and employee for an employee’s wages in excess of $128,400 per employee.

Answer 1

Answer:

salaries expense 33600

income tax payable  3360

FICA payable   2570.4

SUTA  9

FUTA  7.2

salaries payables  27653.4

Explanation:

  accumulated current Income Tax FICA State Federal

Will         6700 800  80      61.2      3 2.4

Raye 6400 700           70      53.55      6 4.8

Baker 7500 1100   110       84.15  

Lopez 13800 2000 200      153  

Daniels 107800 11800 1180     902.7  

Kingston  113200 17200 1720    1315.8                    

                 33600 3360 2570.4 9 7.2