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9 ex q 3 4 Required information [The following information applies to the questions displayed below. BMX Company has one employee. FICA Social Security taxes
9 ex q 3
4
Required information [The following information applies to the questions displayed below. 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 0.6% and SUTA taxes are 2.9% of the first $7,000 paid to its employee. Gross Pay through August $6,000 Gross Pay for September $1,500 3,600 9,500 b. 19,700 113,700 Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a), (b), and (c). (Round your answers to 2 decimal places.) a) September Earnings Tax Rate Tax Amount ax Subject to Tax FICA-Social Security FICA-Medicare FUTA SUTA b) September Earnings Tax Rate Tax Amount Subject to Tax FICA- Social Security FICA-Medicare FUTA SUTA September Earnings Tax Rate ax Tax Amount Subject to Tax FICA-Social Security FICA-Medicare FUTA SUTA Assuming situation a, prepare the employer's September 30 journal entries to record salary expense and its related payroll liabilities for this employee. The employee's federal income taxes withheld by the employer are $70 for this pay period. (Round your answers to 2 decimal places.) Taxes to be Withheld From Gross Pay (Employee-Paid Taxes) September Earnings Tax Rate Tax Amount Subject to Tax Federal income tax 70.00 Journal entry worksheet Prepare the employer's September 30 journal entry to record the accrued salary expense and its related payroll liabilities for this employee. Note: Enter debits before credits. Date General Journal Debit Credit Record entry Clear entry View general journalStep by Step Solution
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