City Place Movie Theaters has four employees and pays them on an hourly basis. During the week beginning June 24 and ending June 30, these employees worked the hours shown below. Information about hourly rates, marital status, withholding allowances, and cumulative earnings prior to the current pay period also appears below. Consider any hours worked beyond 40 in the week as overtime hours and overtime pay at one and one-half times their regular hourly rate.
| | Regular | Hourly | Marital | Withholding | Cumulative | |
| Employee | Hours Worked | Rate | Status | Allowances | Earnings | |
| Andy Anderson | | 48 | | $ | 12.70 | | | M | | | | 1 | | | | $ | 17,640 | | |
| Roma Benson | | 48 | | | 11.50 | | | M | | | | 4 | | | | | 16,975 | | |
| Frank Cortez | | 40 | | | 11.20 | | | M | | | | 1 | | | | | 16,080 | | |
| Winter Wise | | 50 | | | 10.70 | | | S | | | | 2 | | | | | 14,660 | | |
| |
Required:
- Enter the basic payroll information for each employee in a payroll register. Record the employees name, number of withholding allowances, marital status, total and overtime hours, and regular hourly rate. Note: Consider any hours worked beyond 40 in the week as overtime hours and overtime pay at one and one-half times their regular hourly rate
- Compute the regular, overtime, and gross earnings for each employee. Enter the figures in the payroll register.
- Compute the amount of social security tax to be withheld from each employees earnings. Assume a 6.2 percent social security rate on the first $122,700 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 employees earnings. Assume a 1.45 percent Medicare tax rate on all salaries and wages earned by the employee during the year. Enter the figures in the payroll register.
- Determine the amount of federal income tax to be withheld from each employees total earnings. Use the tax tables in Figure 10.2a & Figure 10.2b. Enter the figures in the payroll register.
- Compute the net pay of each employee and enter the figures in the payroll register.
- Prepare a general journal entry to record the payroll for the week ended June 30.
- Record the general journal entry to summarize payment of the payroll on July 3.
Analyze: What are Andy Andersons cumulative earnings on June 30, 20X1?
Complete this question by entering your answers in the tabs below. eBook Payroll Register General Journal Analyze Print Compute the regular, overtime, gross earnings, social security tax and Medicare tax to be withheld from each employee's earnings. Assume a 6.2 percent social security rate on the first $122,700 earned by the employee during the year. Assume a 1.45 percent Medicare tax rate on all salaries and wages earned by the employee during the year. Determine the amount of federal income tax to be withheld from each employee's total earnings. (Use the table shown in Figure 10.2A & Figure 10.2B whichever is applicable). Finally compute the net pay of each employee. (Round your intermediate calculations and final answers to 2 decimal places.) Show less References Payroll register And ending: June 30 Paid: July 3 Distribution Taxable wages Deductions Week beginning: June 24 Earnings Regular Overtime time Gross amount earnings earnings Employee Cumulative earnings Social security Medicare Social security Medicare Income tax Net amount Wages expense Andy Anderson Roma Benson Frank Cortez Winter Wise $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Complete this question by entering your answers in the tabs below. Payroll Register General Journal Analyze Prepare a general journal entry to record the payroll expenses and also summarize payment of the payroll for the week ended June 30, and July 3. (Round your intermediate calculations and final answers to 2 decimal places.) View transaction list Journal entry worksheet Record the company's payroll to be paid at a later date. Note: Enter debits before credits. General Journal Debit Credit Date June 30 Analyze: What are Andy Anderson's cumulative earnings on June 30, 20X1? Complete this question by entering your answers in the tabs below. Payroll Register General Journal Analyze What are Andy Anderson's cumulative earnings on June 30? (Round your intermediate calculations and final answer to 2 decimal places.) Cumulative earnings NO M" FIGURE 10.2A Sample Federal Withholding Tax Tables (Partial) for Single Persons-Weekly Payroll Period SINGLE Persons-WEEKLY Payroll Period (For Wages Paid Through December 20X1) If the wages are - And the number of withholding allowances claimed is - a 1 2 3 4 LO 6 7 00 9 10 At least But less than The amount of income tax to be withheld is $55 60 ERE goooo Oooo 0000 0000 0000 OOOO mm OOOOO OOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO 125 130 135 140 145 130 135 140 145 150 00 00 00 WWNN OOOOO OOOOO OOOOO OOOOO OOOOO 155 160 OLEN 0 0 OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO mm 175 180 185 190 195 180 185 190 195 200 NN 00 00 0 OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO 200 210 220 230 240 210 220 230 240 250 WNN- VOUW OFM OOON OOOOO OOOOO OOOOO OOOOO NN 250 260 270 280 290 260 490 270 280 290 300 OOOO 00 OON 000 LON OOOOO OOOOO OOOOO OOOOO N 300 310 320 330 340 310 320 330 340 350 O 00001W 00 ON 0 1 AN OOOOO OOOOO OOOOO 350 360 370 380 390 360 370 380 390 400 NNNNN 000 NO ON OOOOO OOOOO OOOOO 400 410 420 430 440 410 420 430 440 450 NNNNN NMON ONM OOOOO OOOOO OOOOO 450 450 460 470 480 490 460 470 480 490 500 WNO NNN 00 OM LONDO WNOO OOOOO OOOOO OOOOO 500 510 520 530 540 510 520 530 540 550 ONNN NOOO 00001 - OOON OOOOO BAG ALL OOOOO OOOO 550 560 570 580 590 560 570 580 590 600 . WWWW 00 O UW 0 Nm MOON OOOOO 10 AWNO 9 - No 0 8 oooo - N 0 0 Nm 0 0 7 05 Neooo 0 0 0 N 6 $O 0 0 0 WNOO 0 0 0 5. The amount of income tax to be withheld is AWNO LO 0 No 0 o-N 0 0 0 0 0 0 4 Payroll Period FIGURE 10.2B Sample Federal Withholding Tax Tables (Partial) for Married Persons-Weekly (For Wages Paid Through December 20X1) And the number of withholding allowances claimed is Payroll Period Persons-WEEKLY MARRIED If the wages are - goooo EN M 0 ON o oo ULAWN ON O PR 0 0 0 0 m mm mm . 3 oooo N 0 0 - , 2 N - m n o - NoE mom f sa 100 % % % % 1 ooo-- WWNN 0886 8 80888 60RNm $125 130 135 140 145 150 155 160 165 170 175 180 185 190 195 200 210 220 230 240 250 09 270 280 290 310 320 330 340 350 360 370 380 390 400 410 420 430 440 450 460 470 480 490 009 510 520 530 540 550 099 570 580 590 600 610 620 630 640 650 660 670 680 690 700 710 720 730 740 than At least But less N NNN C NNNN Complete this question by entering your answers in the tabs below. eBook Payroll Register General Journal Analyze Print Compute the regular, overtime, gross earnings, social security tax and Medicare tax to be withheld from each employee's earnings. Assume a 6.2 percent social security rate on the first $122,700 earned by the employee during the year. Assume a 1.45 percent Medicare tax rate on all salaries and wages earned by the employee during the year. Determine the amount of federal income tax to be withheld from each employee's total earnings. (Use the table shown in Figure 10.2A & Figure 10.2B whichever is applicable). Finally compute the net pay of each employee. (Round your intermediate calculations and final answers to 2 decimal places.) Show less References Payroll register And ending: June 30 Paid: July 3 Distribution Taxable wages Deductions Week beginning: June 24 Earnings Regular Overtime time Gross amount earnings earnings Employee Cumulative earnings Social security Medicare Social security Medicare Income tax Net amount Wages expense Andy Anderson Roma Benson Frank Cortez Winter Wise $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Complete this question by entering your answers in the tabs below. Payroll Register General Journal Analyze Prepare a general journal entry to record the payroll expenses and also summarize payment of the payroll for the week ended June 30, and July 3. (Round your intermediate calculations and final answers to 2 decimal places.) View transaction list Journal entry worksheet Record the company's payroll to be paid at a later date. Note: Enter debits before credits. General Journal Debit Credit Date June 30 Analyze: What are Andy Anderson's cumulative earnings on June 30, 20X1? Complete this question by entering your answers in the tabs below. Payroll Register General Journal Analyze What are Andy Anderson's cumulative earnings on June 30? (Round your intermediate calculations and final answer to 2 decimal places.) Cumulative earnings NO M" FIGURE 10.2A Sample Federal Withholding Tax Tables (Partial) for Single Persons-Weekly Payroll Period SINGLE Persons-WEEKLY Payroll Period (For Wages Paid Through December 20X1) If the wages are - And the number of withholding allowances claimed is - a 1 2 3 4 LO 6 7 00 9 10 At least But less than The amount of income tax to be withheld is $55 60 ERE goooo Oooo 0000 0000 0000 OOOO mm OOOOO OOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO 125 130 135 140 145 130 135 140 145 150 00 00 00 WWNN OOOOO OOOOO OOOOO OOOOO OOOOO 155 160 OLEN 0 0 OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO mm 175 180 185 190 195 180 185 190 195 200 NN 00 00 0 OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO OOOOO 200 210 220 230 240 210 220 230 240 250 WNN- VOUW OFM OOON OOOOO OOOOO OOOOO OOOOO NN 250 260 270 280 290 260 490 270 280 290 300 OOOO 00 OON 000 LON OOOOO OOOOO OOOOO OOOOO N 300 310 320 330 340 310 320 330 340 350 O 00001W 00 ON 0 1 AN OOOOO OOOOO OOOOO 350 360 370 380 390 360 370 380 390 400 NNNNN 000 NO ON OOOOO OOOOO OOOOO 400 410 420 430 440 410 420 430 440 450 NNNNN NMON ONM OOOOO OOOOO OOOOO 450 450 460 470 480 490 460 470 480 490 500 WNO NNN 00 OM LONDO WNOO OOOOO OOOOO OOOOO 500 510 520 530 540 510 520 530 540 550 ONNN NOOO 00001 - OOON OOOOO BAG ALL OOOOO OOOO 550 560 570 580 590 560 570 580 590 600 . WWWW 00 O UW 0 Nm MOON OOOOO 10 AWNO 9 - No 0 8 oooo - N 0 0 Nm 0 0 7 05 Neooo 0 0 0 N 6 $O 0 0 0 WNOO 0 0 0 5. The amount of income tax to be withheld is AWNO LO 0 No 0 o-N 0 0 0 0 0 0 4 Payroll Period FIGURE 10.2B Sample Federal Withholding Tax Tables (Partial) for Married Persons-Weekly (For Wages Paid Through December 20X1) And the number of withholding allowances claimed is Payroll Period Persons-WEEKLY MARRIED If the wages are - goooo EN M 0 ON o oo ULAWN ON O PR 0 0 0 0 m mm mm . 3 oooo N 0 0 - , 2 N - m n o - NoE mom f sa 100 % % % % 1 ooo-- WWNN 0886 8 80888 60RNm $125 130 135 140 145 150 155 160 165 170 175 180 185 190 195 200 210 220 230 240 250 09 270 280 290 310 320 330 340 350 360 370 380 390 400 410 420 430 440 450 460 470 480 490 009 510 520 530 540 550 099 570 580 590 600 610 620 630 640 650 660 670 680 690 700 710 720 730 740 than At least But less N NNN C NNNN
