FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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- An employee receives an hourly wage rate of $23, with time-and-a-half for all hours worked in excess of 40 during the week. Payroll data for the current week are as follows: hours worked, 43; federal income tax withheld, $133; social security tax rate, 6.0%; Medicare tax rate, 1.5%; state unemployment compensation tax, 3.4% on the first $7,000; and federal unemployment compensation tax, 0.8% on the first $7,000. What is the net amount to be paid to the employee? Round your answer to the nearest cent.arrow_forwardWisconsin Company began business on January 2, 2019 with 5 employees. It created a sick leave and vacation policy stated as follows: Each employee is allowed 8 days of paid sick leave each year and 1 day of paid vacation leave for each month worked. The accrued vacation leave cannot be taken until the employee has been with the company 1 year. The sick leave, if not used accumulates to a 18-day maximum. The vacation leave accumulates for 5 years, but at any time the employee may request additional compensation in lieu of taking paid vacation leave. The company considers that the requirements of PAS have been met and desires to record the liability for both compensated absences on a quarterly basis. The daily gross wages for each employee are P250. What is the amount to be recorded as Liability for Compensated absences-Vacation leave for the first quarter of 2019.arrow_forwardThe monthly and hourly wage schedule for the employees of Quirk, Inc., follows. No employees are due overtime pay. Round your answers to nearest cent. Compute the following for the last monthly pay of the year: a. The total wages of each part-time employee for December 20--.b. The OASDI and HI taxable wages for each employee.c. The FICA taxes withheld from each employee's wages for December.d. Totals of columns. (Totals should include both full-time and part-time employees.)e. The employer's FICA taxes for the month. Employees Total MonthlyPayroll OASDI TaxableWages OASDITax HI TaxableWages HI Tax Full-Time Office: Adaiar, Gene $1,415.00 $fill in the blank 1 $fill in the blank 2 $fill in the blank 3 $fill in the blank 4 Crup, Jason 1,300.00 fill in the blank 5 fill in the blank 6 fill in the blank 7 fill in the blank 8 Essex, Joan 1,805.00 fill in the blank 9 fill in the blank 10 fill in the…arrow_forward
- Urmilabenarrow_forwardGreer Utsey earned $49,100 in 2022 for a company in Kentucky. Greer is single with one dependent under 17 and is paid weekly. The FUTA rate In Kentucky for 2022 is 0.6 percent on the first $7,000 of employee wages, and the SUTA rate is 5.4 percent with a wage base of $11,100. Use the percentage method in Appendix C and the state Information in Appendix D. Manual payroll system is used and Box 2 is not checked. Required: Compute the following employee share of the taxes for the third weekly payroll of the year. Note: Do not round Intermediate calculation. Round your final answers to 2 decimal places. Federal income tax withholding Social Security tax Medicare tax State income tax withholding LA 5 S 58.54 13.69 47.21arrow_forwardPrepare the journal entries to record the transactions related to sick days during 2022 and 2023arrow_forward
- An employee receives an hourly rate of $22, with time and a half for all hours worked in excess of 40 during the week. Payroll data for the first week of the calendar year are as follows: hours worked, 42; federal income tax withheld, $144; Social security tax rate, 6%; and Medicare tax rate, 1.5%; state unemployment tax, 5.4% on the first $7,000; federal unemployment tax, 0.8% on the first $7,000. What is the net amount to be paid to the employee? If required, round your answers to the nearest cent.arrow_forwardDixon Sales has six employees that receive weekly paychecks. Each employee earns $14.00 per hour and has worked 40 hours in the pay period. Total federal income tax withholdings are $403.20. Each employee pays 3.0% in state income tax, 6.0%% in Social Security tax, 1.5% in Medicare tax, and 0.5% toward retirement savings. Journalize the recognition of the pay period ending January 19 that will be paid to the employees on January 26 using the chart of accounts below. Medicare Tax Payable Payroll Tax Expense Payroll Tax Payable Sales Wages Expense Sales Wages Payable Social Security Tax Expense Cash Employees Federal Income Tax Expense Employees Federal Income Tax Payable Social Security Tax Payable mployees State Income Tax Expense Prepaid Payroll Taxes Unearned Sales Wages nployees State Income Tax Payable edicare Tax Expense Retirement Savings Payable Sales er your answers into the table below. the account names carefully (exactly as shown above) and follow formatting instructions…arrow_forwardEmpty fields company pays its salaried employees monthly on the last day of each month The annual salary payroll for 20-Follows. Compute the following for the payroll of December 31: Employer's OASDI Tax $____________ Employer's HI Tax $_____________arrow_forward
- Peter Jones is paid $13.76 per hour. During the past week, he worked 44 hours, and he is a covered employee who must be paid for overtime. Calculate his gross pay using the overtime premium approach. Round your overtime rate to two decimal places and use the rounded amount in subsequent computations. Round your final answers to the nearest cent. a. Regular pay (44 hours) b. Overtime premium pay c. Gross pay $ $arrow_forward1. An industry employees 450 workers during the month of Decemcber 2019.The following arethe details of Expenditure as follows .Cost of material=$ 86000, Rate of wages for each employee =$ 3 per hour of normal duty and $ 6per hour of overtime duty. Man hours per day of normal duty= 8 hours. Number of holidays per month (with out wages)=6 days. Total over head expenses = $23000.The workers were paid overtime for 375 hours. Calculate (i) Total cost/month (ii) Man hour rate on costs …..arrow_forwardAlpine Company pays its employees time-and-a-half for hours worked in excess of 40 per week. The information available from time cards and employees’ individual earnings records for the pay period ended October 14 is shown in the following chart: Earnings at End Daily Time Income Tax Name of Previous Week M T W T F S Pay Rate Allowances or Amount Bardin, J. 43,627.00 8 8 8 8 8 2 21.30 2 Caris, A. 44,340.00 8 8 8 8 8 8 21.60 1 Drew, W. 43,845.00 8 10 10 8 8 0 21.50 1 Garen, S. 117,600.00 8 8 8 8 8 0 49.00 $227.83 North, O. 43,875.00 8 8 8 8 8 5 21.40 3 Ovid, N. 40,150.00 8 8 8 8 8 0 21.50 1 Ross, J. 6,430.00 8 8 8 8 8 4 20.50 1 Springer, O. 44,175.00 8 8 8 8 8 3 21.25 2 Taxable earnings for Social Security are based on the first $118,500. Taxable earnings for Medicare are based on all earnings. Taxable earnings for federal and state unemployment are based on the first $7,000. *Round to the nearest penny. Required: 1. Complete the payroll register…arrow_forward
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