Gloucester County Auto Repair employees earned $56,275 in the pay period ending July 31. Federal income taxes withheld are $11,817.75 Additionally, a 1.9% state unemployment tax (North Carolina) and a 0.8% federal unemployment tax are required to be paid by the employers. Social Security rate is 6.2% and Medicare rate is 1.45%. 

Prepare the journal entry related to the gross pay earned by employees (assume no employee reached their annual Social Security limit of $167,700 (as of 2024)

Answer rating: 100% (QA)

To prepare the journal entry related to the gross pay earned by employees we need to consider the va... View the full answer