The entry to record a deposit of federal income taxes withheld and social security and Medicare taxes would

Multiple Choice

• a. debit an expense account and credit one or more liability accounts.

• b. debit one or more liability accounts and credit an asset account.

• c. debit an asset account and credit an expense account.

• d. debit one or more expense accounts and credit one or more liability accounts.

 

Identify the list of accounts below that would normally all have a debit balance.

Multiple Choice

• a. Payroll Taxes Expense, Salaries Expense, Workers’ Compensation Insurance Expense.

• b. Worker’s Compensation Insurance Expense, Prepaid Insurance, Medicare Tax Payable.

• c. Worker’s Compensation Insurance Payable, Salaries Payable, Salaries Expense.

• d. Social Security Tax Payable, Medicare Tax Payable, Employee Income Tax Payable.

e. Generally, the maximum earnings subject to state unemployment taxes is

Multiple Choice

• a. larger than the base for social security.

• b. the same as the base for social security.

• c. smaller than the base for social security.

• d. the amount of total earnings.

 

Jerry Little's gross wages as of October 31 were $120,200. He earned gross wages of $4,000 for the pay period ended November 15, 20X1. Deducted from his paycheck this period, were federal income taxes of $400, state income taxes of $150, social security of 6.2% on the first $132,900 and Medicare tax of 1.45%. State Unemployment Tax is 4%, and Federal Unemployment tax is 0.6% on the first $7,000 of annual earnings. Calculate the employer payroll income taxes associated with Jerry's November 15 paycheck.

Multiple Choice

• a. $306.00

• b. $248.00

• c. $58.00

• d. $490.00