Question

According to the accountant of Marigold Corp., its payroll taxes for the week were as follows: $131.00 for FICA taxes, $13.50 for federal unemployment taxes, and $96.50 for state unemployment taxes. Journalize the entry to record the accrual of the payroll taxes. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 2 decimal places, e.g. 10.50.)

Answer 1

Answer:

Marigold Corp.

Journal Entry:

Debit Payroll taxes expense:

FICA taxes for the week $131.00

Federal unemployment taxes $13.50

State unemployment taxes $96.50

Credit Payroll taxes payable $241

To record the accrual of the payroll taxes.

Explanation:

a) Data:

FICA taxes for the week = $131.00

Federal unemployment taxes = $13.50

State unemployment taxes = $96.50

Analysis:

Payroll taxes expense:

FICA taxes for the week $131.00

Federal unemployment taxes $13.50

State unemployment taxes $96.50

Payroll taxes payable $241