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For the year ended December 31, Lopez Company implements an employee bonus program based on company net income, which the employees share equally. Lopez's bonus
For the year ended December 31, Lopez Company implements an employee bonus program based on company net income, which the employees share equally. Lopez's bonus expense is computed as $79,245. 1. \& 2. Prepare the journal entries at December 31 to record the bonus due and later on January 19 to record payment of the bonus to employees. Journal entry worksheet Record the bonus due to the employees at December 31. Note: Enter debits before credits. For the year ended December 31, Lopez Company implements an employee bonus program based on company net income, which the employees share equally. Lopez's bonus expense is computed as $79,245. 1. \& 2. Prepare the journal entries at December 31 to record the bonus due and later on January 19 to record payment of the bonus to employees. Journal entry worksheet 1 Record the payment of bonus to the employees. Note: Enter debits bcfore credits; Required information [The following information applies to the questions displayed below.] BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137700 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee. Compute BMX's amounts for each of these four taxes as applied to the employee's gross earnings for September under each of three separate situations (a), (b), and (c). (Round your answers to 2 decimal places.)
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