CHAPTER 9 HOMEWORK 4 Required information The following information applies to t
ID: 2601492 • Letter: C
Question
CHAPTER 9 HOMEWORK 4 Required information The following information applies to the questions displayed below Part 3 of 3 BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $118 500 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX. its FUTA taxes are 06% and SUTA taes are 29% of the inst SZ000 paid to its employee 10 oss Pay through Gross Pay for $ 5,588 19,288 113,200 $2,3e0 3,180 9,800 Hint Print Assuming situation a, prepare the employer's September 30 journal entries to record the employer's payroll taxes expense and its related liabilities. (Round your answers to 2 decimal places) Employer Payroll taxes ngs Tax Rate Tax Amount subject to tax ICA-Social Security 2.300.00 620%) $ 142.60 33 35 2,300.00 UTA 0 60% 2 90% Total Payroll Taxes Expense UTA 175 95 Secure l https://newconnect.mheducation.com/flow/connect.html CHAPTER 9 HOMEWORK 6 4 Required information Part 3 of 3 10 View transaction list View journal entry worksheet Hint Date General Journal Debit cr Print Sep 30 Payroll taxes expense FICA-Social sec taxes payable FICA Medicare taxes payable Federal unemployment taxes payable State unemployment taxes payableExplanation / Answer
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Ref Particulars FICA social security FICA medicare FUTA SUTA Total a Over all limit 1,18,500 No limit 7000 7000 b wages paid through august 5,500 5,500 5,500 c=a-b Limit available 1,13,000 No limit 1,500 1,500 d gross pay for september 2,300 2,300 2,300 2,300 e=min(c,d) september wages subject to tax 2,300 2,300 1,500 1,500 f tax rate 6.20% 1.45% 0.60% 2.90% g=e*f Amount of tax 142.60 33.35 9.00 43.50 228.45