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A Florida companys first weekly pay period of the year ends on January 8. Sales employees earned $30,000 and office employees earned $20,000 in salaries.

  1. A Florida companys first weekly pay period of the year ends on January 8. Sales employees earned $30,000 and office employees earned $20,000 in salaries. The employees are to have withheld from their salaries FICA Social security taxes at the rate of 6.2%. FICA Medical taxes at the rate of 1.45%, $9,000 of federal income taxes, $2,000 of medical insurance deductions, and $1,000 of pension contributions. No employee earned more than $7,000 in the first pay period.
    1. Prepare the journal entry to record the companys January 8th employee payroll expenses and liabilities.
    2. Prepare the journal entry to record the employer payroll taxes assuming state unemployment tax rate of 5.4% on the first $7,000 paid to each employee and Federal unemployment tax rate of 0.6%

  1. Prepare the following Journal entries:
    1. Estimated accrued vacation benefits for the year of $9,000 adjusting year end entry
    2. May 1st employee one week vacation paid $450 cash

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