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Saleem Enterprises is a graphic design company. The accountant needs to prepare the relative journal entries to determine items related to salaries, deductions, and contributions.
Saleem Enterprises is a graphic design company. The accountant needs to prepare the relative journal entries to determine items related to salaries, deductions, and contributions. Required a) On May 31, Saleem Enterprises had gross pay for employees of $42,500. Total employee contributions to the retirement savings plan is $1,700. The appropriate deduction rates are provided. Record the entry for salaries expense on May 31. Federal income tax rate is 9% State income tax rate is 6% FICA is 7.65% FUTA is 0.6% SUTA is 5.4% Date Account Title and Explanation Credit Debit b) Using the data from above and assuming Saleem Enterprises contributes the same amount toward the employee retirement savings plan, prepare the journal entry for the employer's payroll contributions. Date Account Title and Explanation Debit Credit c) What is the total amount of cash that Saleem Enterprises will pay? How much will Saleem Enterprises pay for every $1.00 of gross pay earned by employees
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