According to a summary of the payroll of Scotland Company, salaries for the period were $400,000. Federal income tax withheld was $98,000. Also, $15,000 was subject to state (5.4%) and federal (0.8%) unemployment taxes. All earnings are subject to social security tax of 6.0% and Medicare tax of 1.5%. Journalize the entry to record the accrual of payroll. If required, round your answers to the nearest (a) cent. Journalize the entry to record the accrual of payroll taxes. If required, round your answers to the (b) nearest cent.

According to a summary of the payroll of Scotland Company, salaries for the period were $400,000. Federal income tax withheld was $98,000. Also, $15,000 was subject to state (5.4%) and federal (0.8%) unemployment taxes. All earnings are subject to social security tax of 6.0% and Medicare tax of 1.5%. Journalize the entry to record the accrual of payroll. If required, round your answers to the nearest (a) cent. Journalize the entry to record the accrual of payroll taxes. If required, round your answers to the (b) nearest cent.

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter7: Employee Earnings And Deductions

Section: Chapter Questions

Problem 6E: On January 21, the column totals of the payroll register for Great Products Company showed that its...

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