Question

Hernandez Builders has a gross payroll for January amounting to $500,000. The following amounts have been withheld:
Income taxes ........... $63,000
Social Security ........... 31,000
Medicare ............. 7,250
Charitable contributions ....... 1% of gross pay
Union dues ............ 2% of gross pay
Also, the federal unemployment tax rate is 6.2 percent, and applies to all but $50,000 of the gross payroll.

Required:
1. What is the amount of net pay recorded by Hernandez?
2. Prepare the journal entries to record the payroll.


$1.99
Sales3
Views164
Comments0
  • CreatedSeptember 22, 2015
  • Files Included
Post your question
5000