Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Ivanhoe Company has the following data for the weekly payroll ending January 31. Employee M L. Helton R. Kenseth D. Tavaras 8 8 9 T

Ivanhoe Company has the following data for the weekly payroll ending January 31. Employee M L. Helton R. Kenseth D. Tavaras 8 8 9 T 8 8 10 Hours W 10 8 100 8 T 8 8 8 F 10 8 9 S 3 3 0 Hourly Rate $12 12 15 Federal Income Tax Withholding Health Insurance $34 37 58 $10 25 25 Employees are paid 1 times the regular hourly rate for all hours worked in excess of 40 hours per week. FICA taxes are 7.65% (the 7.65% FICA tax rate consists of the Social Security tax rate of 6.2% on salaries and wages up to $128,400 and the Medicare tax rate of 1.45% on all salaries and wages). Ivanhoe Company is subject to 5.4% state unemployment taxes and 0.6% federal unemployment taxes on the first $7,000 of gross earnings. Prepare the journal entry to record Ivanhoe's payroll tax expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 2 decimal places, e.g. 15.25.)
image text in transcribed
Ivanhoe Company has the following data for the weekly payroll ending January 31. Employees are paid 121 times the regular hourly rate for all hours worked in excess of 40 hours per week. FICA taxes are 7.65% (the 7.65% FICA tax rate consists of the Social Security tax rate of 6.2% on salaries and wages up to $128,400 and the Medicare tax rate of 1.45% on all salaries and wages). Ivanhoe Company is subject to 5.4% state unemployment taxes and 0.6% federal unemployment taxes on the first $7,000 of gross earnings. Prepare the journal entry to record I vanhoe's payroll tax expense. (Credit occount titles ore outomatically indented when amount is entered. Do not indent manually, Round answers to 2 decimal places, eg. 15.25.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Why And How Of Auditing Auditing Made Easy

Authors: Charles B. Hall

1st Edition

0578519739, 978-0578519739

More Books

Students also viewed these Accounting questions

Question

Explain the relationship of job design to employee contributions.

Answered: 1 week ago

Question

Discuss the steps in human resource planning.

Answered: 1 week ago