Answer:
wages expense 600,000 debit
FICA taxes payables 45,900 credit
Federal and state income tax payable 60,000 credit
Wages payable 494,100 credit
--to record employees salaries and witholdings--
payroll tax expense 83,100 debit
Frindge benefit expense 34,800 debit
FICA taxes payables 45,900 credit
FUTA&SUTA tax payables 37,200 credit
Health insurance payable 10,800 credit
Retirement fund obligation 24,000 credit
Explanation:
taxes:
FICA is paid by both, employee and employer. While FUTA&SUTA only by the employer
FICA 600,000 x 7.65% = 45,900
FUTA&SUTA 600,000 x 6.20% = 37,200
fringe benefit:
as they are done by the employer it will create liabilities and obligation
