Multiple choice hw

1.An employee earned $42,400 working for an employer in the current year. The current rate for Federal Insurance Contributions Act (FICA) Social Security is 6.2% payable on earnings up to $137,700 maximum per year, and the rate for Federal Insurance Contributions Act (FICA) Medicare 1.45%. The employer's total Federal Insurance Contributions Act (FICA) payroll tax for this employee is: a)3,243.60 b)2,628.80 c)6,487.20 d)614.80 e)0 2.An employer agrees to pay $15,300 for medical insurance and contribute an additional 5% of the employees' $153,000 gross salaries to a retirement program. The entry to record these accrued benefits is: a. Credit to Employee Benefits Expense $15,300. b. Debit to Payroll Taxes Expense S22,950. Debit to Medical Insurance Payable $15,300, d. Debit to Employee Retirement Program Payable $7,650. e. Debit to Employee Benefits Expense $22.950. C. e. 3.On November 1, Alan Company signed a 120-day, 11% note payable, with a face value of $14,400. What is the adjusting entry for the accrued interest at December 31 on the note? (Use 360 days a year.) a. No adjusting entry is required. b. Debit Interest Payable, $352; credit Interest Expense, $352. c. Debit Interest Expense, $176; credit Interest Payable, $176. d. Debit Interest Expense, S264; credit Interest Payable, $264. Debit Interest Payable, $528; credit Interest Expense, S528. 4.During December, Vixen Company sells $853,000 in merchandise that has a one-year warranty, Warranty expense is estimated at 3% of sales. On January 5 of the following year, the merchandise requires repairs that are completed the same day. The repairs cost $14,300 for materials taken from parts inventory. The entry to record the estimated warranty liability at the end of December is: a. Debit Warranty Expense $11,290; credit Estimated Warranty Liability S11,290. b. Debit Warranty Expense $14,300; credit Estimated Warranty Liability $14,300. Debit Warranty Expense $25,590; credit Estimated Warranty Liability $25,590. d. Debit Estimated Warranty Liability $14,300; credit Warranty Expense $14,300. Debit Estimated Warranty Liability S11,290, credit Warranty Expense $11,290. c. e