Saved Help Save & Exit Su Problem 9-6AA Entries for payroll transactions LO P2, P3, P5 Francisco Company has 10 employees, each of whom earns $2,700 per month and is paid on the last day of each month. All 10 have been employed continuously at this amount since January 1. On March 1, the following accounts and balances exist in its general ledger: a. FICA-Social Security Taxes Payable, $3,348; FICA-Medicare Taxes Payable, $784. (The balances of these accounts represent total liabilities for both the employer's and employees' FICA taxes for the February payroll only.) b. Employees' Federal Income Taxes Payable, $6,750 (liability for February only). c. Federal Unemployment Taxes Payable, $324 (liability for January and February together). d. State Unemployment Taxes Payable, $2,160 (liability for January and February together). During March and April, the company had the following payroll transactions. Mar. 15 Issued check payable to Swift Bank, a federal depository bank authorized to accept employers' payments of FICA taxes and employee income tax withholdings. The $10,882 check is in payment of the February FICA and employee income taxes. 31 Recorded the journal entry for the March salaries payable. Then recorded the cash payment of the March payroll (the company issued checks payable to each employee in payment of the March payroll). The payroll register shows the following summary totals for the March pay period. Salaries Federal FICA Income Net Shop Salaries Gross Office Salaries Pay $18,184 Taxes* Taxes Pay $27,000 $ 1,674 $ 6,750 $10,800 $16,200

*FICA taxes are Social Security and Medicare, respectively 31 Recorded the employer's payroll taxes resulting from the March payroll. The company has a merit rating that reduces its state unemployment tax rate to 4.00% of the first $7,000 paid each employee. The federal rate is 0.50%. Apr. 15 Issued check to Swift Bank in payment of the March FICA and employee income taxes, 15 Issued check to the State Tax Commission for the January, February, and March state unemployment taxes. Filed the check and the first quarter tax return with the Commission 30 Issued check payable to Swift Bank in payment of the employer's FUTA taxes for the first quarter of the year. 30 File Form 942 with the IRS, reporting the FICA taxes and the employees' federal income tax withholdings for the first quarter Required: Prepare journal entries to record the transactions and events for both Morch and April (if no entry is required for a particular transaction, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 5 6 7 > Record the cash payment of FICA (employees' and employer's) and employee income taxes of the month of February Help Help Journal entry worksheet Record the cash payment of FICA (employees' and employer's) and employee income taxes of the month of February. 2:46 Note: Enter debits before credits Date General Journal Debit Credit Mar 15 Record entry Clear entry View general Journal Journal entry worksheet Record the employee) payroll expenses and liabilities for the month of March 27:28 Note: Enter debits before credits Date General Journal Debit Credit Mar 31 Record entry Clear entry View general Journal Journal entry worksheet 1 2 4 5 6 7 8 Record the payment of payroll for March Note: Enter debits before credits Date General Journal Debit Credit Mar 31 Record entry Clear entry View general Journal Prev 1 of 12 Next > Journal entry worksheet Record the employer's payroll expenses and liabilities for the month of March. Note: Enter debits before credits. Date General Journal Mar 31 Debit Credit Record entry Clear entry View general journal Saved Journal entry worksheet Journal entry worksheet Journal entry worksheet Record the cash payment of FUTA taxes for the first quarter of the year. 36:11 Note: Enter debits before credits Date General Journal Debit Credit Apr 30 Record entry Clear entry View general Journal Journal entry worksheet