Question

Calculator Entries for Payroll and Payroll Taxes The following information about the payroll for the week ended December 30 was obtained from the records of Saine Co.1 Deductions: Salaries: Sales salaries Warehouse salaries Office salaries $271,000 149,000 138,000 Income tax withheld U.S. savings bonds Group insurance $98,200 12,275 10,044 $558,000 Tax rates assumed: Social security, 6% Medicare, 1.54 State unemployment employer only), 5.4% Federal unemployment (employer only), 0.8% Required: If an amount box does not require an entry leave it blank in. Assuming that the payroll for the last week of the year is to be paid on December 31, joumalize the entry on December 30, to record the payroll Date Account Debit Credit Dec. 30 Sales Sales Expense Warehouse Sales En once salaries Expanse Employees Income Tax Payable Check My Work Previous Nee)

Answer 1

Required 1 A :
Date	Account	Debit	Credit
Dec-30	Sales Salaries Expense	$ 271,000
	Warehouse Salaries Expense	$ 149,000
	Office Salaries Expense	$ 138,000
	Employees income tax payable		$ 98,208
	Social security tax payable($558,000*6%)		$ 33,480
	Medicare tax payable($558,000*1.5 %)		$ 8,370
	U.S saving Bond Deductions payable		$ 12,276
	Group insurance payable		$ 10,044
	Salaries payable (Balance in figure)		$ 395,622
Required 1 B :
Date	Account	Debit	Credit
Dec-30	Payroll Tax Expense   (Balance in fig)	$ 43,586
	Social security tax payable($558,000*6%)		$ 33,480
	Medicare tax payable($558,000*1.5 %)		$ 8,370
	State unemployment tax payable ($28,000*5.4%)		$ 1,512
	Federal unemployment tax payable ($28,000*0.8%)		$ 224
Required 2 A :
Date	Account	Debit	Credit
Dec-30	Sales Salaries Expense	$ 271,000
	Warehouse Salaries Expense	$ 149,000
	Office Salaries Expense	$ 138,000
	Employees income tax payable		$ 98,208
	Social security tax payable($558,000*6%)		$ 33,480
	Medicare tax payable($558,000*1.5 %)		$ 8,370
	U.S saving Bond Deductions payable		$ 12,276
	Group insurance payable		$ 10,044
	Salaries payable (Balance in figure)		$ 395,622
Required 2 B :
Date	Account	Debit	Credit
Jan-04	Payroll Tax Expense   (Balance in fig)	$ 76,446
	Social security tax payable($558,000*6%)		$ 33,480
	Medicare tax payable($558,000*1.5 %)		$ 8,370
	State unemployment tax payable ($558,000*5.4%)		$ 30,132
	Federal unemployment tax payable ($558,000*0.8%)		$ 4,464