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Alex Wilson operates On . Time Delivery Service. The company has four employees who are paid on an hourly basis. During the workweek beginning December
Alex Wilson operates OnTime Delivery Service. The company has four employees who are paid on an hourly basis. During the
workweek beginning December and ending December X employees worked the number of hours shown below. Information
about their hourly rates, marital status, federal income tax to be witheld, along with their cumulative earnings for the year prior to the
December payroll period. Consider any hours worked beyond in the week as owertime hours and overtime pay at one and
onehalf times their regular hourly rate.
Required:
Compute the regulat, overtime, and gross eamings for each employee. Enter the figures in the payroll register.
Compute the amount of soclal securify tax to be withheld from each employee's gross earnings. Assume a percent soclal
security rate on the first $ earned by the employee during the year. Enter the figures in the payroll register.
Compute the amount of Medicare tax to be withheld from each employee's gross earnings. Assume a percent Medicare tax
rate on all salaries and wages earned by the employee during the year, Enter the figures in the payroll register.
Use the provided amount of federal income tax to be witheld from each employee's total earnings. Enter the figures in the
payroll register.
Compute the net amount due to each employee and enter the figures in the payroll repistec.
Dodger and Russell are oftice workers. Gancla and Dollar are dellwery workers.
Prepare a general joumal entry to record the payroll for the week ended December x
Q Prepare a general jouinal entry on December to summarize payment of wages for the week.
Analyze:
What percentage of total taxable wages was delivery wages?
iet amount due to each employee. Dodger and Russell are office workers. Garda and Dollar are delivery workers.
vote: Round your intermediate calculations and final answers to decimal places.
Journal entry worksheet
Record the company's payroll to be paid at a later date.
Note: Enter debits before credits.
What percentage of total taxable wages was delivery wages?
Note: Round your intermediate calculations and final answer to decimal places.
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