Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Ashley Wilson works for MRK all year and earns a monthly salary of $11,900. There is no overtime pay. Ashley's income tax withholding rate is
Ashley Wilson works for MRK all year and earns a monthly salary of $11,900. There is no overtime pay. Ashley's income tax withholding rate is 20% of gross pay. In addition to payroll taxes, Ashley elects to contribute 3% monthly to United Way. MRK also deducts $200 monthly for co-payment of the health insurance premium. As of September 30, Ashley had $107,100 of cumulative earnings.
i More Info For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee: OASDI: 6.2% on first $117,000 earned; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. Employer: OASDI: 6.2% on first $117,000 earned; Medicare: 1.45% on all earnings; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned. Print Done Ashley Wilson works for MRK all year and earns a monthly salary of $11,900. There is no overtime pay. Ashley's income tax withholding rate is 20% of gross pay. In addition to payroll taxes, Ashley elects to contribute 3% monthly to United Way. MRK also deducts $200 monthly for co-payment of the health insurance premium. As of September 30, Ashley had $107,100 of cumulative earnings. (Click the icon to view payroll tax rate information.) Requirements 1. Compute Ashley's net pay for October. 2. Journalize the accrual of salaries expense and the payments related to the employment of Ashley Wilson. Requirement 1. Compute Ashley's net pay for October. (Round all amounts to the nearest cent.) Withholding deductions: Choose from any list or enter any number in the input fields and then continue to the next question. ? Requirement 2. Journalize the accrual of salaries expense and the payments related to the employment of Ashley Wilson. (Record debits first, then credits. Select explanations on the last line of the journal entry table.) Begin with the entry to accrue salaries expense and payroll withholdings for Ashley Wilson. (Round all amounts to the nearest cent.) Date Accounts and Explanation Debit Credit Now record the entry to record the payment of wages to Ashley Wilson. (Round all amounts to the nearest cent.) Date Accounts and Explanation Debit Credit Choose from any list or enter any number in the input fields and then continue to the nextStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started