Assume the following data for Surf & Sno Adventures for the quarter ended December 31. 

• Number of employees at the beginning of the year: 8 
• Number of employees for fourth quarter: 10 
• Gross earnings for fourth quarter: $84,926.00 
• Gross earnings for the year: $288,748.00 
• All employees made over $7,000 in their fi rst quarter of employment, including the two new employees hired in the fourth quarter 
• Employee FICA taxes $6,496.84 (all wages are subject to Social Security tax) 
• Federal income tax $16,985.00 
• State income tax $2,657.00 
• Employer FICA taxes $6,496.84 
• Federal unemployment tax $84.00 (only $14,000 of wages are subject to FUTA in the fourth quarter) 
• State unemployment tax $756.00 (only $14,000 of wages are subject to SUTA in the fourth quarter) 
• Monthly federal income tax and FICA tax liability: October $8,977.48, November $10,814.76, and December $10,186.44 
• Federal income tax and FICA tax total monthly deposits for fourth quarter: $27,320.36 
• FUTA deposits for the year $336.00 

Instructions: 

a. What amounts would be entered on Form 941 for the following line items? (Round to nearest cent.) 

Line 3: Federal income tax withheld. 

Line 5a: Taxable social security wages. 

Line 5c: Taxable medicare wages and tips. 

Line 6: Total taxes before adjustments. 

Line 11: Total deposits for this quarter. 

Line 12: Balance due. 

Line 13: Overpayment. 

b. What amounts would be entered on Form 940 for the following line items? (Round to nearest cent.) 

Line 3: Total payments to all employees. 

Line 4: Payments exempt from FUTA tax. 

Line 5: Total of payments made to each employee in excess of $7,000. 

Line 7: Total taxable FUTA wages. 

Line 8: FUTA tax before adjustments. 

Line 13: FUTA tax deposited for the year, including any overpayment applied from a prior year. 

Line 14: Balance due. 

Line 15: Overpayment. 

Line 16a: 1st quarter. 

Line 16b: 2nd quarter. 

Line 16c: 3rd quarter. 

Line 16d: 4th quarter. 

Line 17: Total tax liability for the year.