Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please explain why part B is wrong Return to question 8 Mest Company has nine employees. FICA Social Security taxes are 6.2% of the first

image text in transcribedimage text in transcribedimage text in transcribed Please explain why part B is wrong

Return to question 8 Mest Company has nine employees. FICA Social Security taxes are 6.2% of the first $137,700 paid to each employee, and FICA Medicare taxes are 1.45% of gross pay. FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to each employee. Cumulative pay for the current year for each of its employees follows. 1.11 points Employee Kens Tim v Steve S Cumulative Pay $ 5,500 45,900 92,500 Employee Julie w Michael M Zach R Cumulative Pay $ 149,000 112,400 137,700 Employee Christina s Kitty o John W Cumulative Pay $ 141,300 42,400 6,000 a. Compute the amounts in this table for each employee. b. For the company, compute each total for FICA Social Security taxes, FICA Medicare taxes, FUTA taxes, and SUTA taxes. Hint Remember to include in those totals any employee share of taxes that the company must collect. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Returi 8 Required A Required B Compute the amounts in this table for each employee. 1.11 points Employee Cumulative Pay Ken S $ 5,500 45,900 Tim V Steve S Julie W 92,500 149,000 Pay Subject to Pay Pay Pay FICA Subject to Subject to Subject to Social FICA FUTA SUTA Medicare Taxes Security Taxes $ 5,500 $ 5,500 $ 5,500 $ 5,500 45,900 45,900 7,000 7,000 92,500 92,500 7,000 7,000 137,700 149,000 7,000 7,000 112,400 112,400 7,000 7,000 137,700 137,700 7,000 7,000 137,700 141,300 7,000 7,000 42,400 42,400 7,000 7,000 6,000 6,000 6,000 6,000 $ 717,800 $ 732,700 $ 60,500 $ 60,500 112,400 Michael M Zach R Christina S Kitty O John W Totals 137,700 141,300 42,400 6,000 732,700 $ Re 00 Required A Required B 1.11 points For the company, compute each total for FICA Social Security taxes, FICA Medicare taxes, FUTA taxes, and SUTA taxes. Hint: Remember to include in those totals any employee share of taxes that the company must collect. (Round your final answers to 2 decimal places.) Tax Paid by Employee 44,503.60 FICA Social Security taxes FICA Medicare taxes Tax Paid by Total Tax Employer $ 44,503.60 $ 89,007.20 10,624.15 21.248.30 10,624.15 FUTA taxes 36,300.00 X SUTA taxes 326,700.00 X 326,700.00 653,400.00

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

Accounting Information Systems Controls And Processes

Authors: Leslie Turner, Andrea B. Weickgenannt, Mary Kay Copeland

5th Edition

1119989485, 9781119989486

More Books

Students also viewed these Accounting questions

Question

=+ Who are the buyers/users of the products abroad?

Answered: 1 week ago