Question: 1-26A Computing and journalizing payroll amounts Lee Werner is general manager of Stoneybrook Salons. During 2016, W for the company al ear at a $14,00
1-26A Computing and journalizing payroll amounts Lee Werner is general manager of Stoneybrook Salons. During 2016, W for the company al ear at a $14,00 monthly salary. He also earned a yearekd Werner worked thly salary. He also earned a year-end bonu Werner's federal income tax withheld during 2016 was $980 per $1,700 on his bonus check. State income tax withheld came to $60 per month $40 on the bonus. FICA tax was withheld on the annual earnings. Werner the following payroll deductions: Charity Fund contribution of 2% of total ear and life insurance of $35 per month. equal to 15% of his annual salary. came to ngs Stoneybrook incurred payroll tax expense on Werner for FICA tax. The co also paid state unemployment tax and federal unemployment tax. Requirements 1. Compute Werner's gross pay, payroll deductions, and net pay for the full year 2016. Round all amounts to the nearest dollar. 2. Compute Stoneybrook's total 2016 payroll tax expense for Werner. 3. Make the journal entry to record Stoneybrook's expense for Werner's total earnings for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate. Credit liability accounts for the payroll deductions and Cash for net pay. An explanation is not required s. Make the journal entry to record the acrual of Stoneybrooks payroll tax expernse 4. Make the journal entry to record the Stoneybrook's payro for Werner's total earnings
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
