William Baker works for Jones Restaurant Supply all year and earns a monthly salary of $8,000
There is no overtime pay and Jones withholds income taxes at 12% of gross pay. Jones deducts $200 monthly fo the co-payment of the health insurance premium. Employees are paid on the fifth day of each month. As of October, 31, William had $80,000 of cumulative earnings. Journalize the accrual of salaries expense on October 31. Omit explanations.
What will be an ideal response
Salaries and Wages Expense 8,000
FICA - OASDI Payable ($8,000 x 6.2%) 496
FICA - Medicare Taxes Payable ($8,000 x 1.45%) 116
Employee Income Taxes Payable ($8,000 x 12%) 960
Employee Health Insurance Payable 200
Salaries and Wages Payable 6,228
You might also like to view...
Which of the following is a type of insurance where an insurer transfers loss exposures from policies written for its insureds?
A) Treaty insurance B) Reinsurance C) Mutual insurance D) Captive insurance
In firms with multiple SBUs, the first step in strategic planning is for top management to ________
A) recruit and hire the right personnel B) examine historical data C) establish a mission for the entire corporation D) allocate resources to the company's various SBUs E) establish marketing's short-term objectives