FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 8: Paying,recording,and Reporting Payroll and Payroll Taxes:

Show Answer

Share

---

All types

Filters

Study Flashcards

Question 21

Multiple Choice

Review LaterAdd Note

Review Later

A company must pay Form 941 taxes electronically if:

A) they do business in multiple states.
B) they pay more than $2,500 in a given quarter.
C) they pay less than $2,500 in a given quarter.
D) The company would never have to pay electronically.

Correct Answer

verified

Show Answer

Question 22

Multiple Choice

Review LaterAdd Note

Review Later

The payment of FUTA would include:

A) a debit to FUTA Payable.
B) a credit to FUTA Payable.
C) a debit to FUTA Expense.
D) a credit to FUTA Expense.

Correct Answer

verified

Show Answer

Question 23

Multiple Choice

Review LaterAdd Note

The employer's total FICA,SUTA,and FUTA tax is recorded as:

Kristi's Mentoring had the following information for the pay period ending September 30: Assume: FICA-OASDI applied to the first $117,000 at a rate of 6.2%. FICA-Medicare applied at a rate of 1.45%. FUTA applied to the first $7,000 at a rate of 0.8%. SUTA applied to the first $7,000 at a rate of 5.6%. State income tax is 3.8%. Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total deductions.

Kristi's Mentoring had the following information for the pay period ending September 30: Assume: FICA-OASDI applied to the first $117,000 at a rate of 6.2%. FICA-Medicare applied at a rate of 1.45%. FUTA applied to the first $7,000 at a rate of 0.8%. SUTA applied to the first $7,000 at a rate of 5.6%. State income tax is 3.8%. Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total gross earnings for the office.

Cash - Payroll Checking is a(n) :

The balance in the Wages and Salaries Expense account is equal to net pay.

What liability account is reduced when the employees are paid?

Kristi's Mentoring had the following information for the pay period ending September 30: Assume: FICA-OASDI applied to the first $117,000 at a rate of 6.2%. FICA-Medicare applied at a rate of 1.45%. FUTA applied to the first $7,000 at a rate of 0.8%. SUTA applied to the first $7,000 at a rate of 5.6%. State income tax is 3.8%. Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total regular earnings.

Using the information provided below,prepare a journal entry to record the payroll tax expense for Mr.B's Carpentry. Assume: FICA tax rates are: OASDI 6.2% on a limit of $117,000 and Medicare 1.45%. State unemployment tax rate is 2% on the first $7,000. Federal unemployment tax rate is 0.8% on the first $7,000.

Form 941 taxes include OASDI,Medicare,and federal unemployment tax.

Different deposit rules apply to employers based on the amount collected and owed by that employer for payroll taxes.

Kristi's Mentoring had the following information for the pay period ending September 30: Assume: FICA-OASDI applied to the first $117,000 at a rate of 6.2%. FICA-Medicare applied at a rate of 1.45%. FUTA applied to the first $7,000 at a rate of 0.8%. SUTA applied to the first $7,000 at a rate of 5.6%. State income tax is 3.8%. Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the employees' FICA-OASDI.

Kristi's Mentoring had the following information for the pay period ending September 30: Assume: FICA-OASDI applied to the first $117,000 at a rate of 6.2%. FICA-Medicare applied at a rate of 1.45%. FUTA applied to the first $7,000 at a rate of 0.8%. SUTA applied to the first $7,000 at a rate of 5.6%. State income tax is 3.8%. Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total federal income tax.

Which of the following statements is false?

The form used for the annual federal unemployment taxes is Form 941.

Form SS-4 is:

Plymouth Sharks Hockey Accessories had the following transactions involving the sale of merchandise.You are to prepare the necessary general journal entries.All sales are subject to a 6% sales tax and have a 2/10,n/30 discount terms. December 2 $\quad$ Sold merchandise priced at $\$ 100$ to Cathy Norton on account. December 4 $\quad$ Sold merchandise priced at $\$ 125$ to a cash customer. Decem ber 10 $\quad$ Payment from Cathy Norton received. Decem ber 16 $\quad$ Cash customer returned $\$ 40$ worth of merchandise. -A monthly depositor:

The following data applies to the July 15 payroll for the Woodard Research Firm (overtime is paid at 1 1/2) $\begin{array} { l r c r c c } \text { Employee Name } & \text { Pay Rate } & \text { Hours } & \text { Cumulative } & \text { Department } & \text { Federal Income } \\ & & \text { Worked } & & & \text { Tax Withheld } \\\hline\text { B. Woodard } & \$ 2,000 / \text { wk } & \text { Salaried } & \$ 98,000 & \text { Office } & \$ 779.00 \\\text { J. Thomas } & 13.00 & 51 & 40,000 & \text { Shop } & 320.00 \\\text { K. McCann } & 17.00 & 46 & 42,000 & \text { Shop } & 330.00\end{array}$ Assume: FICA-OASDI is 6.2% based on a limit of $117,000. FICA-Medicare is 1.45%. FUTA is .8% based on a limit of $7,000. SUTA is 5.6% based on a limit of $7,000. State income tax is 2.8%. -Compute the total overtime earnings.

Kristi's Mentoring had the following information for the pay period ending September 30: Assume: FICA-OASDI applied to the first $117,000 at a rate of 6.2%. FICA-Medicare applied at a rate of 1.45%. FUTA applied to the first $7,000 at a rate of 0.8%. SUTA applied to the first $7,000 at a rate of 5.6%. State income tax is 3.8%. Employees contribute to their retirement fund at a rate of 5.5% of their gross earnings. -Compute the total overtime earnings.