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Hal Striker manages a Dairy World drive-in. His straight-time pay is $19 per hour, with time-and-a-half for hours in excess of 40 per week. Striker's
Hal Striker manages a Dairy World drive-in. His straight-time pay is $19 per hour, with time-and-a-half for hours in excess of 40 per week. Striker's payroll deductions include withheld income tax of 30%, FICA tax, and a weekly deduction of $12 for a charitable contribution to United Way. Striker worked 50 hours during the week. i (Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Compute Striker's gross pay and not pay for the week. Assume earnings to date are $12,000. (Round all amounts to the nearest cent.) Begin by computing Striker's gross pay for the week. i More Info Gross Pay Compute Striker's net pay for the week. (Round all amounts to the nearest cent.) Withholding deductions: For all payroll calculations, use the following tax rates and round amounts to the nearest cent: OASDI: 6.2% on first $118,500 earned; Medicare: 1.45% up to $200,000, 2.35% on eamings above $200,000 Employer. OASDI: 6.2% on first $118,500 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 Net (take-home) pay Requirement 2. Journalize Dairy World's wages expense accrual for Striker's work. An explanation is not required. (Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit Requirement 3. Journalize the subsequent payment of wages to Striker. (Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit
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