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Dixon Sales has six sales employees that receive weekly paychecks. Each earns $10.00 per hour and each has worked 40 hours in the pay period.
Dixon Sales has six sales employees that receive weekly paychecks. Each earns $10.00 per hour and each has worked 40 hours in the pay period. Each employee pays 12% of gross in federal income tax, 3% of gross in state income tax, 6% of gross in Social Security tax, 1.5% of gross in Medicare tax, and 0.5% of gross in state disability insurance. Journalize the recognition of the pay period ending January 19 which will be paid to the employees January 26. Keep in mind that none of the employees is subject to a ceiling amount for social security. If an amount box does not require an entry, leave it blank or enter O. Present your answers to the nearest cent. Jan. 19 Sales Wages Expense 2,400 Federal Income Tax Payable 288 State Income Tax Payable 72 Social Security Tax Payable IBRERO 144 Medicare Tax Payable 36 State Disability Insurance Payable 12 Sales Wages Payable 552
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