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Thank you for all the help! Requirements 1. Compute Whitney's gross pay, payroll deductions, and net pay for the full year 2024. Round all amounts
Thank you for all the help!
Requirements 1. Compute Whitney's gross pay, payroll deductions, and net pay for the full year 2024. Round all amounts to the nearest dollar. 2. Compute Valuepoint's total 2024 payroll tax expense for Whitney. 3. Make the journal entry to record Valuepoint's expense for Whitney's total earnings for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate. Credit liability accounts for the payroll deductions and Cash for net pay. An explanation is not required. 4. Make the journal entry to record the accrual of Valuepoint's payroll tax expense for Whitney's total earnings. 5. Make the journal entry for the payment of the payroll withholdings and taxes. Print Done More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee OASDI: 6.2% on first $132,900 earned; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000 Employer: OASDI: 6.2% on first $132,900 earned; Medicare: 1.45%; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned. Print Done Larry Whitney is general manager of Valuepoint Salons. During 2024, Whitney worked for the company all year at a $11,800 monthly salary. He also earned a year-end bonus equal to 20% of his annual salary. Whitney's federal income tax withheld during 2024 was $2,596 per month, plus $3,398 on his bonus check. State income tax withheld came to $60 per month, plus $30 on the bonus. FICA tax was withheld on the annual earnings. Whitney authorized the following payroll deductions: Charity Fund contribution of 1% of total earnings and life insurance of $5 per month. Valuepoint incurred payroll tax expense on Whitney for FICA tax. The company also paid state unemployment tax and federal unemployment tax. (Click the icon to view payroll tax rate information) Read the requirements Requirement 1. Compute Whitney's gross pay, payroll deductions, and net pay for the full year 2024. Round all amounts to the nearest dolla Begin by computing Whitney's gross pay for the year. (Round all amounts to the nearest dollar.) Gross pay Gross Pay Now compute Whitney's payroll deductions and net pay for the year. (Round all amounts to the nearest dollar.) Net pay: Withholding deductions: Net (take-home) pay Requirement 2. Compute Valuepoint's total 2024 payroll tax expense for Whitney. (Round all amounts to the nearest dollar.) Employer Payroll Taxes: Total Employer Payroll Tax Total Payroll Expense Requirement 3. Make the joumal entry to record Valuepoints expense for Whitney's total camings for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate payroll deductions and Cash for net pay. An explanation is not required (Record debits first, then credits Exclude explanations from journal entries.) Date Accounts Debit Credit Requirement 4. Make the journal entry to record the scene of Valuepoint's payroll tax expense for Whitney's total earings (Record debts first the credits Exclude explanations from journal entries Date Accounts Debit Credit Requirement 5. Make the journal entry for the payment of the payroll withholdings and taxes. (Record debits first, then credits. Exclude explanatio is from Youmal entries.) Date Accounts Debit Credit Step by Step Solution
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