Exam 8: Paying,recording,and Reporting Payroll and Payroll Taxes: The Conclusion of the Payroll Process

The following data applies to the July 15 payroll for the Woodard Research Firm (overtime is paid at 1 $\frac{1}{2}$ ) Employee Name B. Woodard J. Thomas K. McCann Pay Rate \ 2,000/ 13.00 17.00 Hours Worked Salaried 51 46 Cumulative \ 98,000 40,000 42,000 Department Office Shop Shop Federal Income Tax Withheld \ 779.00 320.00 330.00 Assume: FICA-OASDI is 6.2% based on a limit of $106,800 FICA-Medicare is 1.45% FUTA is .8% based on a limit of $7,000 SUTA is 5.6% based on a limit of $7,000 State income tax is 2.8% -Compute the net pay.________

A company must pay Form 941 taxes electronically if:

Prepare a general journal payroll entry for Advanced Computer Programming using the following information: Cumulative Earnungs Weekly C. Lester \6 0,000 \1 ,000 Office C. Oros 90,000 1,600 Sales I. Carnarvon 165,000 2,100 Office Assume the following: a)FICA: OASDI,6.2% on a limit of $106,800; Medicare,1.45% b)Federal income tax is 15% of gross pay c)Each employee pays $20 per week for medical insurance

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement on which the account balance is reported, and in Column 4 the nature of the account (permanent/temporary). - Column 1 Column 2 Column 3 Column 4 FICA-OASDI Payable

Record in the general journal the payroll tax entry for the week ended August 31.Use the following information gathered to make the entry. Employee Cumulative Earnings Grog Pay E. Lefore Weekly Payroll For Week C.Legal \2 0,000 \1 ,000 D. Monaghan 14,000 600 T. Delcotto 5,000 600 a)FICA tax rate is: OASDI 6.2% on a limit of $106,800,and Medicare is 1.45% b)Federal Unemployment is 0.8% on a limit of $7,000 c)State Unemployment is 2% on a limit of $7,000

Kristi's Mentoring had the following information for the pay period ending September 30: Employee Name T. Hill V. Chandler M. Hill Pay rate \ 4,500 12.00 13.00 Hours worked Salaried 48 43 Cumulative earnings \ 103,000 51,000 5,200 Department Office Tutor Tutor Federal income tax withheld \ 2,000.00 215.00 208.00 Assume: FICA-OASDI applied to the first $106,800 at a rate of 6.2% FICA-Medicare applied at a rate of 1.45% FUTA applied to the first $7,000 at a rate of 0.8% SUTA applied to the first $7,000 at a rate of 5.6% State income tax is 3.8% Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Prepare the general journal entry to record the payment of the employees. ___________________________________________ _________ _________ ___________________________________________ _________ _________ ___________________________________________ _________ _________ ___________________________________________ _________ _________

S.Ferrari,an employee of Plum Hollow Country Club,earned $1,100 during the first week of January.His withholding included: federal income tax,15%; state income tax,5%; FICA-OASDI,6.2%; FICA-Medicare,1.45%; and union dues $25.Determine the tax for OASDI,Medicare,Federal Income Tax,and State Income Tax.

Wages and Salaries Payable would be used to record:

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement on which the account balance is reported, and in Column 4 the nature of the account (permanent/temporary). - Column 1 Column 2 Column 3 Column 4 Salary Expense

Kristi's Mentoring had the following information for the pay period ending September 30: Employee Name T. Hill V. Chandler M. Hill Pay rate \ 4,500 12.00 13.00 Hours worked Salaried 48 43 Cumulative earnings \ 103,000 51,000 5,200 Department Office Tutor Tutor Federal income tax withheld \ 2,000.00 215.00 208.00 Assume: FICA-OASDI applied to the first $106,800 at a rate of 6.2% FICA-Medicare applied at a rate of 1.45% FUTA applied to the first $7,000 at a rate of 0.8% SUTA applied to the first $7,000 at a rate of 5.6% State income tax is 3.8% Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total overtime earnings.________

Why are all of the employer payroll taxes listed in separate payable accounts?

The account for Payroll Tax Expense includes all of the following except:

As the Prepaid Workers Compensation is recognized,the amount will transfer to:

The employer records deductions from the employee's paycheck:

Workers' Compensation Insurance is:

Kristi's Mentoring had the following information for the pay period ending September 30: Employee Name T. Hill V. Chandler M. Hill Pay rate \ 4,500 12.00 13.00 Hours worked Salaried 48 43 Cumulative earnings \ 103,000 51,000 5,200 Department Office Tutor Tutor Federal income tax withheld \ 2,000.00 215.00 208.00 Assume: FICA-OASDI applied to the first $106,800 at a rate of 6.2% FICA-Medicare applied at a rate of 1.45% FUTA applied to the first $7,000 at a rate of 0.8% SUTA applied to the first $7,000 at a rate of 5.6% State income tax is 3.8% Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total employers payroll tax.________

Which of the following statements is false?

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement on which the account balance is reported, and in Column 4 the nature of the account (permanent/temporary). - Column 1 Column 2 Column 3 Column 4 FICA-Medicare Payable

For each of the following, identify in Column 1 the category to which the account belongs, in Column 2 the normal balance for the account, in Column 3 the financial statement on which the account balance is reported, and in Column 4 the nature of the account (permanent/temporary). - Column 1 Column 2 Column 3 Column 4 Wage Expense

The following data applies to the July 15 payroll for the Woodard Research Firm (overtime is paid at 1 $\frac{1}{2}$ ) Employee Name B. Woodard J. Thomas K. McCann Pay Rate \ 2,000/ 13.00 17.00 Hours Worked Salaried 51 46 Cumulative \ 98,000 40,000 42,000 Department Office Shop Shop Federal Income Tax Withheld \ 779.00 320.00 330.00 Assume: FICA-OASDI is 6.2% based on a limit of $106,800 FICA-Medicare is 1.45% FUTA is .8% based on a limit of $7,000 SUTA is 5.6% based on a limit of $7,000 State income tax is 2.8% -Compute the employers payroll tax.________