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Please help, I'm stuck! Electronics Service Company pays salaries monthly on the last day of the month. The following information is available from Electronics for
Please help, I'm stuck!
Electronics Service Company pays salaries monthly on the last day of the month. The following information is available from Electronics for the month ended December 31 , Year 1. Assume the Social Security tax rate is 6.0 percent on the first $110,000 of salaries. Duke reached $110,000 before September. His salary in December amounted to $11,000 and is included in the $74,000. No one else will reach the $110,000 arnount for the year. None of the employee salaries are subject to unemployment tax in December. Assume the Medicare tax rate is 1.5% of total salaries. Nthor amen inte withhald from ealariae in Namnwhar warn is follows: Required a. Prepare the joumal entry to record the payment of payroll on December 31, Year 1. b. Prepare the journal entry to record the payroll tax expense for Electronics Service Company for December Year 1. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the entry for payment of payroll on December 31 , Year 1. Note: Enter debits before credits. Journal entry worksheet Record the entry for payroll tax expense for Electronics Service Company for December Year 1. Note: Enter debits before credits Step by Step Solution
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