Question

6-Paul Company completed the salary and wage payroll for the month of March. The payroll provided the following details: Salaries and wages earned by employees $ 206,000 Employee income taxes withheld 41,200 Employee government insurance premiums withheld 4,000 FICA payroll taxes* 16,300 *Assessed on both employer and employee (i.e., $16,300 each). Required: 1. Prepare the journal entry to record the payroll for March, including employee deductions. Assume employees have been paid, but that Paul has yet to transfer any withholdings to the government. 2. Prepare the journal entry to record the employer's payroll taxes, which have not yet been paid to the government. 3. Provide a combined journal entry to show the payment of all amounts owed to governmental agencies. (For all requirements, If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Answer 1

pogles, 1. Journal entry to Recold the payrou for march Particluara heneral. Journal hebit kredit 206,000 41900 4000 Salary Expo TO Employee Percome tax payable to Employee government payable to Employee FICA taxes payable TO Bank / cash. Ale 16300 161,500 206.000 : 206000 Total 16300 Employer pay soul taxes entory Employers payroll Tax Exprege, nyd 16300 TO Employeen Fica taxes payabe (Being employer taxes payable entry I booked. combined Journal entry to show the payment of qu amant owed to govern mest 41200 Employee Income tax payable AC Employee government payable he 3000

page:- 16,300 so Empoloyer payroll taxes entry Employer payrole -Tax Expnese Aje TO Employer Fica taxes payable (Being employer taxes payable entry) booked 16,300 combined Journal entry to show the payment of all amounts owed to government 41,200 4000 16,300 16,300 Employee Income tax payable A/C Employee government payable Alc Employee FICA Taxes payable Alc Employer FICA Taxes payable Alc To Bank/ cash Al- Being payment mode of an governme 97.800 Ques