determining what the Fica payable is? Jim Adams calculates and records the unemployment taxes paid by employers,
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Jim Adams calculates and records the unemployment taxes paid by employers, and Waren's portion of the FICA payroll tax. These payroll taxes are calculated at the end of the month on gross payroll and recorded in the general journal. The taxes are paid the following month. State and federal unemployment taxes are imposed on the first $7,000 of wages paid to covered employees in 2022. Thus, a review of the employee earnings subsidiary ledger on pages 19 through 21 of the Ledgers indicates that only one of Waren's employees remains subject to this tax (i.e., has not yet exceeded the wage base maximum). The same wage base maximum is used in the project for both state and federal unemployment taxes to simplify the calculations. The state unemployment tax (SUTA) rate is 3.55%. Because employers are allowed credits against the federal unemployment tax (FUTA) rate for participation in state unemployment programs, the net FUTA rate is .6%. Period Ending Regular Hours Hours Worked FICA Over Time Hours Gross Pay Social Security Medicare Federal Income State Income Tax Tax Net Pay Action Paid Balance forward 10-15-22 10-14- 48.00 22 $816.00 $50.59 $11.83 $26.32 $727.26 10-31-22 10-31- 22 50.00 $850.00 $52.70 $12.33 $28.00 $756.97 Cumulative Annual Total $1,666.00 $103.29 $24.16 $54.32 $1,484.23 11-15-22 11-15- 49.00 $833.00 $51.65 $12.08 $27.16 $742.11 22 11-30-22 11-30- 22 52.00 $884.00 $54.81 $12.81 $29.68 $786.70 Cumulative Annual Total $3,383.00 $209.75 $49.05 $111.16 $3,013.04 12-15-22 12-15- 88.00 1.20 $1,526.60 $94.65 $22.14 $51.00 $61.49 $1,297.32 22 12-31-22 12-31- 22 88.00 6.70 $1,715.88 $106.38 $24.88 $70.00 $70.86 $1,443.76 Cumulative Annual Total $6,625.48 $410.78 $96.07 $121.00 $243.51 $5,754.12 Jim Adams calculates and records the unemployment taxes paid by employers, and Waren's portion of the FICA payroll tax. These payroll taxes are calculated at the end of the month on gross payroll and recorded in the general journal. The taxes are paid the following month. State and federal unemployment taxes are imposed on the first $7,000 of wages paid to covered employees in 2022. Thus, a review of the employee earnings subsidiary ledger on pages 19 through 21 of the Ledgers indicates that only one of Waren's employees remains subject to this tax (i.e., has not yet exceeded the wage base maximum). The same wage base maximum is used in the project for both state and federal unemployment taxes to simplify the calculations. The state unemployment tax (SUTA) rate is 3.55%. Because employers are allowed credits against the federal unemployment tax (FUTA) rate for participation in state unemployment programs, the net FUTA rate is .6%. Period Ending Regular Hours Hours Worked FICA Over Time Hours Gross Pay Social Security Medicare Federal Income State Income Tax Tax Net Pay Action Paid Balance forward 10-15-22 10-14- 48.00 22 $816.00 $50.59 $11.83 $26.32 $727.26 10-31-22 10-31- 22 50.00 $850.00 $52.70 $12.33 $28.00 $756.97 Cumulative Annual Total $1,666.00 $103.29 $24.16 $54.32 $1,484.23 11-15-22 11-15- 49.00 $833.00 $51.65 $12.08 $27.16 $742.11 22 11-30-22 11-30- 22 52.00 $884.00 $54.81 $12.81 $29.68 $786.70 Cumulative Annual Total $3,383.00 $209.75 $49.05 $111.16 $3,013.04 12-15-22 12-15- 88.00 1.20 $1,526.60 $94.65 $22.14 $51.00 $61.49 $1,297.32 22 12-31-22 12-31- 22 88.00 6.70 $1,715.88 $106.38 $24.88 $70.00 $70.86 $1,443.76 Cumulative Annual Total $6,625.48 $410.78 $96.07 $121.00 $243.51 $5,754.12
Expert Answer:
Related Book For
Horngrens Financial And Managerial Accounting The Financial Chapters
ISBN: 9780134486840
6th Edition
Authors: Tracie L. Miller Nobles, Brenda L. Mattison, Ella Mae Matsumura
Posted Date:
Students also viewed these accounting questions
-
Start of Payroll Project 7-3a October 9, 20-- No. 1 The first payroll in October covered the two workweeks that ended on September 26 and October 3. This payroll transaction has been entered for you...
-
A company operates a standard absorption costing system and absorbs fixed production overheads based on machine hours. The budgeted fixed production overheads for the company for the previous year...
-
The income statement and additional data of Nyman Travel Products, Inc., follow: Additional data: a. Acquisition of plant assets was $134,000. Of this amount, $90,000 was paid in cash and $44,000 by...
-
Determine whether the taxpayer in each of the following situations is in constructive receipt of income. If not, explain when the income will be constructively received. a. Norman is president of...
-
While the electromagnetic interaction between the photons and the charged electrons and positrons kept them in equilibrium with each other during the early universe, show that the direct...
-
Grave City is considering the relocation of several police substations to obtain better enforcement in high-crime areas. The locations under consideration together with the areas that can be covered...
-
Keynesians believe that the tools (G, T and MS) should be used to try to help the economy. Should we? Why or why not?
-
Mary Jane has been appointed the new audit manager of Acorn Co. Ltd and have been assigned to the audit of Nation Choice Importers and Distributor Ltd. at the entrance meeting with Chief Executive...
-
Explain the likely value of price elasticity of supply for primary commodities.
-
Estimates based on studies of the US population suggest that a 10% increase in the price of cigarettes would reduce overall consumption by adults by 3% to S%. The same 10% increase would reduce the...
-
Contrast the price elasticities of demand and supply for primary commodities with those of manufactured goods.
-
Explain the determinants of price elasticity of supply.
-
Distinguish between a shift of the supply curve for a product and a movement along the product's supply curve.
-
Write a program that calculates Federal and CA State tax based on gross income that was input from user. The program should print the gross income, federal tax mount, state tax amount and net income...
-
A glass manufacturer produces hand mirrors. Each mirror is supposed to meet company standards for such things as glass thickness, ability to reflect, size of handle, quality of glass, color of...
-
Curtis Company is facing a potential lawsuit. Curtiss lawyers think that it is reasonably possible that it will lose the lawsuit. How should Curtis report this lawsuit?
-
The unadjusted trial balance of Watson Anvils at December 31, 2018, and the data for the adjustments follow: Adjustment data: a. Unearned Revenue still unearned at December 31, $3,600. b. Prepaid...
-
Assume that you are purchasing an investment and have decided to invest in a company in the digital phone business. You have narrowed the choice to Digitalized Corp. and Every Zone, Inc. and have...
-
Predictions of future technological advances and breakthroughs are notoriously unreliable. For example, in the 1960 some futurists predicted that we would all soon be commuting to work in our own...
-
What overriding goal should every systems designer, in performing input design, never lose sight of?
-
Despite the inroads being made by other input methods, the venerable keyboard is still far and away the most common method used for data input, and it is likely to stay that way for a while. But...
Study smarter with the SolutionInn App