Question
Kip Bowman is owner and sole employee of KB Corporation. He pays himself a salary of $1,500 each week. Additional tax information includes: FICA taxOASDI
Kip Bowman is owner and sole employee of KB Corporation. He pays himself a salary of $1,500 each week.
Additional tax information includes: FICA taxOASDI 6.2% on first $137,700 FICA taxHI 1.45% on total pay Federal income tax $225.00 per pay State income tax 22% of the federal income tax withholding Federal unemployment tax 0.6% on first $7,000 State unemployment tax 0.05% on first $14,000
Additional payroll deductions include: 401(k) plan 3% per pay Child support garnishment $115 per pay Health insurance premium $95 per pay
Record the payroll entry and payroll tax entry for the pay of the week ended June 7 (his year-to-date pay is $31,500).
If an amount box does not require an entry, leave it blank. Round your answers to the nearest cent.
| Account | Debit | Credit | |
| Payment of wages | CashFUTA Taxes PayableHealth Insurance Premiums PayablePayroll TaxesWages Expense | fill in the blank | fill in the blank |
| FICA Taxes Payable-OASDIFUTA Taxes PayablePayroll TaxesSUTA Taxes PayableWages Expense | fill in the blank | fill in the blank | |
| FICA Taxes Payable-HIFUTA Taxes PayablePayroll TaxesSUTA Taxes PayableWages Expense | fill in the blank | fill in the blank | |
| Employees FIT ExpenseEmployees FIT PayablePayroll TaxesSUTA Taxes PayableWages Expense | fill in the blank | fill in the blank | |
| Employees SIT PayablePayroll TaxesSUTA Taxes ExpenseSUTA Taxes PayableWages Expense | fill in the blank | fill in the blank | |
| Garnishment ExpensePayroll TaxesRetirement Plan Contributions ExpenseRetirement Plan Contributions PayableWages Expense | fill in the blank | fill in the blank | |
| Garnishment ExpenseGarnishment PayablePayroll TaxesTaxes PayableWages Expense | fill in the blank | fill in the blank | |
| Health Insurance Premiums ExpenseHealth Insurance Premiums PayableInsurance ExpensePayroll TaxesWages Expense | fill in the blank | fill in the blank | |
| CashFUTA Taxes PayablePayroll TaxesSUTA Taxes PayableWages Expense | fill in the blank | fill in the blank | |
| Payroll taxes | CashFICA Taxes Payable-OASDIFUTA Taxes ExpensePayroll TaxesWages Expense | fill in the blank | fill in the blank |
| CashFICA Taxes Payable-OASDIFUTA Taxes ExpenseFUTA Taxes PayableWages Expense | fill in the blank | fill in the blank | |
| CashFICA Taxes Payable-HIFUTA Taxes PayableSUTA Taxes PayableWages Expense | fill in the blank | fill in the blank |
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Accounting Theory And Practice
Authors: M. W. E. Glautier, Brian Underdown
7th Edition
0273651617, 978-0273651611
