P11-31B Computing and journalizing payroll amounts Liam Wallace is general manager of Moonwalk Salons. During 2018, Wallace worked for the company all year at a $13,400 monthly salary. He also earned a year-end bonus equal to 5% of his annual salary. Wallace's federal income tax withheld during 2018 was $2,010 per month, plus $1,608 on his bonus check. State income tax withheld came to $110 per month, plus $80 on the bonus. FICA tax was withheld on the annual earnings. Wallace authorized month. Moonwalk incurred payroll tax expense on Wallace for FICA tax. The the following payroll deductions: Charity Fund contribution of 2% of total earnings and life insurance of $15 per company also paid state unemployment tax and federal unemployment tax. Requirements 1. Compute Wallace's gross pay, payroll deductions, and net pay for the full year 2018. Round all amounts to the nearest dollar. 2. Compute Moonwalk's total 2018 payroll tax expense for Wallace. 3. Make the journal entry to record Moonwalk's expense for Wallace's total earnings for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate. Credit liability accounts for the payroll deductions and Cash for net pay. An explanation is not required. 4. Make the journal entry to record the accrual of Moonwalk's payroll tax expense for Wallace's total earnings. 5. Make the journal entry for the payment of the payroll withholdings and taxes. P11-32B Journalizing liability tran Cave Acct12 Ch11_WP templates - Protected View - Search Home Insert Page Layout Formulas Data Review View Help Acrobat EOTECTED VIEW Be careful-files from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View, P11-318 B D E F G K 1. Compute Wallace's gross pay, payroll deductions, and get pay for the full year 2018. Round all amounts to the nearest dollar. 2. Compute Moonwalk's total 2018 payroll expense for Wallace. 3. Make the journal entry to record Moonwalk's expense for Wallace's total earnings for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate. Credit liability accounts for the payroll deductions and Cash for net pay. An explanation is not required. 4. Make the journal entry to record the accrual of Moonwalk's payroll tax expense for Wallace's total earnings. 5. Make the journal entry for the payment of the payroll withholdings and taxes, lution: supel en Toerentes Requirement 1 Liam Wallace Payroll for the year ended December 31, 2018 Calculation Annual E11-19 E11-20 E11-21 E11-22 E11-231E11-24 P11-25A P126A P11-27A FP11-28A P11-29 Type here to search o ve Ol! Acct12 Ch11_WP_templates Protected View Search Home Insert Page Layout Formulas Data Review View Help Acrobat TECTED VIEW Be careful--files from the Internet can contain viruses. Unless you need to edit it's safer to stay in Protected View En P11-318 B D Requirement 1 E F G H K Liam Wallace Payroll for the year ended December 31, 2018 Calculation Annual Page 2 Page 8 Requirement 2 E11-19 E11-20 E11.21 E11.22 Ilam Wallace E1123 FE11:22 P11-25A P11-26A P11-27A P11-2BA P11-29A Type here to search OR Aoct12 Ch11_WP_templates Protected View Search ame Insert Page Layout Formulas Data Review View Help Acrobat CTED VIEW Be careful files from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View Ena P11 31B B D E F G H K Liam Wallace Employer Payroll Expense for the year ended December 31, 2018 Calculation Annual Page 3 Page 9 ! Requirement 3 E11-19 E11-20 E11-21 E11-22 E11-23 E1124 P11-25A P1126A P11-27A P112BA P11-29 Type here to search ave OR Acct12_Ch11_WP templates - Protected View Search Home Insert Page Layout Formulas Data Review View Help Acrobat EOTECTED VIEW Be careful-files from the Internet can contain viruses. Unless you need to edit it's safer to stay in Protected View P11-318 E F G H B D Requirement 3 J K Date Accounts and Explanation Debit Credit Page 4 Page 10 Requirement 4 Debit Credit Date Accounts and Explanation 2018 Dec. 31 Payroll Tax Expense FICA-OASDI Taxes Payable ET-19 LT-20 121 122 123 124 125 10,215 7,347 P11-2BA P11- P11-26 P11-2/A Type here to search ve ON Acct 12 Ch11_WP_templates - Protected View HE Page Layout Search Home Insert Formulas Data Review View Help Acrobat TECTED VIEW Be careful--files from the Internet can contain viruses. Unless you need to edit it's safer to stay in Protected View E P11-31B D 1 J Debit K Credit B E F G H Date Accounts and Explanation 2018 Dec. 31 Payroll Tax Expense FICA-OASDI Taxes Payable FICA-Medicare Taxes Payable Federal Unemployment Taxes Payable State Unemployment Taxes Payable 10,215 7,347 2,448 42 378 Page 5 Page 14 + Requirement 5 Credit Date Accounts and Explanation Debit 2018 Dec. 31 Employee Federal Income Taxes Payable 25,728 Employee State Income Taxes Payable 1,400 FICA-OASDI Taxes Payable ($7,347 + $7,347 14,694 FICA-Medicare Taxes Payable ($2,448 + $2.4 4,896 Charity Fund Payable 3,377 E11-19 E11E1223 :24P71-25A P11-26A P11-27A P11-28A P11-29 Type here to search we OB Acct12 Ch11_WP_Templates - Protected View Search Home Insert Page Layout Formulas Data Review View Help Acrobat OTECTED VIEW Be careful--files from the Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View fo P11-318 B D E F G H J K Requirement 5 Debit Credit Date Accounts and Explanation 2018 Dec. 31 Employee Federal Income Taxes Payable Employee State Income Taxes Payable FICA-OASDI Taxes Payable ($7,347 + $7,347 FICA-Medicare Taxes Payable ($2,448 + $2,4 Charity Fund Payable Life Insurance Payable Federal Unemployment Taxes Payable State Unemployment Taxes Payable Cash 25,728 1,400 14,694 4,896 3,377 180 42 378 50,695 P2 E11-19 11-20 E1121 E11-22 E1123 E11-24 1-25A P11-26 P11-27A P11-28A P11-29 Type here to search