Answered step by step
Verified Expert Solution
Question
1 Approved Answer
For the year ended December 31, 2022, Waterway Electrical Repair Company reports the following summary payroll data. Gross earnings: Administrative salaries $180,000 Electricians' wages 382,000
For the year ended December 31, 2022, Waterway Electrical Repair Company reports the following summary payroll data. Gross earnings: Administrative salaries $180,000 Electricians' wages 382,000 Total $562,000 $37,847 160,000 Deductions: FICA taxes Federal income taxes withheld State income taxes withheld (3%) United Fund contributions payable Health insurance premiums Total 16,860 27,114 15.000 $256,821 Waterway's payroll taxes are Social Security tax 6.2%, Medicare tax 1.45%, state unemployment 2.5% (due to a stable employment record), and 0.6% federal unemployment. Gross earnings subject to Social Security taxes of 6.2% total $479,000, and gross earnings subject to unemployment taxes total $111,000. No employee exceeds the $132.900 limit related to FICA taxes. (a) Prepare a summary journal entry at December 31 for the full year's payroll. Journalize the adjusting entry at December 31 to record the employer's payroll taxes. (b) (Round answers to decimal places, eg. 125. Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit (a) (b) (c) The W-2 Wage and Tax Statement requires the following dollar data. Complete the required data for the following employees. (Round answers to decimal places, eg. 5,275.) yee Wages, Tips, Other Compensation Federal Income Tax Withheld State Income Tax Withheld FICA Wages FICA Tax Withhe oval $54,000 $26,460 $ $ $ ngenback 26,000 10,140 eTextbook and Media List of Armounts
Step 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