Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Problem 11-04A a-b (Video) The following payroll liability accounts are included in the ledger of Sunland Company on January 1, 2020 FICA Taxes Payable Federal
Problem 11-04A a-b (Video) The following payroll liability accounts are included in the ledger of Sunland Company on January 1, 2020 FICA Taxes Payable Federal Income Taxes Payable State Income Taxes Payable Federal Unemployment Taxes Payable State Unemployment Union Dues Payable U.S. Savings Bonds Payable $775 1,190.00 120.00 295.00 1,950.00 825 320 Taxes Payable In January, the following transactions occurred Jan. 10 Sent check for $825 to union treasurer for union dues. 12 Remitted check for $1,965.00 to the Federal Reserve bank for FICA taxes and federal income taxes withheld. 15 Purchased U.S. Savings Bonds for employees by writing check for $320 17 Paid state income taxes withheld from employees. 20 Paid federal and state unemployment taxes. 31 Completed monthly payroll register, which shows salaries and wages $62,000, FICA taxes withheld $4,743, federal income taxes payable $2,175, state income taxes payable $395, union dues payable $475, United Fund contributions payable $1,990, and net pay $52,222 31 Prepared payroll checks for the net pay and distributed checks to employees. At January 31, the company also makes the following accrued adjustments pertaining to employee compensation 1. Employer payroll taxes: FICA taxes 7.65%, federal unemployment taxes 0.8%, and state unemployment taxes 5.4%. 2. Vacation pay: 6% of gross earnings
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started