The form on page 6-45 shows the amounts that appear in the Earnings to Date column of the employees? earnings records for 10 full time and part timeworkers in Unger Company. These amounts represent the cumulative earnings for each worker as of October 7, the company?s last payday. The form also gives the gross amount of earnings to be paid each worker on the next payday, October 14. In the state where Unger Company is located, the tax rates and bases are as follows:

Tax on Employees:

FICA?OASDI. . . . . . . . . . . . . . . . . . . . . . . . . 6.2% on first $118,500

FICA?HI . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.45% on total earnings

SUTA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.5% on first $8,000

Tax on Employer:

FICA?OASDI. . . . . . . . . . . . . . . . . . . . . . . . . 6.2% on first $118,500

FICA?HI . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.45% on total earnings

FUTA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.6% on first $7,000

SUTA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.8% on first $8,000

In the appropriate columns of the form on page 6-45, do the following:

1. Compute the amount to be withheld from each employee?s earnings on October 14 for

(a) FICA?OASDI,

(b) FICA?HI, and

(c) SUTA, and determine the total employee taxes.

2. Record the portion of each employee?s earnings that is taxable under FICA, FUTA, and SUTA, and calculate the total employer?s payroll taxes on the October 14 payroll.

Name: 6-15A UNGER COMPANY Employee 1 2 3 4 5 6 7 8 9 10 Earnings To Date Gross Earnings Oct. 25 Taxes to Be Withheld From Employees' Earnings Under FICA OASDI HI SUTA Employer Taxe Portion of Emplo Earnings FICA OASDI Weiser, Robert A. 118,790 1,790 Stankard, Laurie C. 14,950 295 Grow, Joan L. 4,060 240 Rowe, Paul C. 8,190 235 McNamara, Joyce M. 7,460 195 O'Connor, Roger T. 118,210 1,810 Carlson, Ronald B. 8,905 280 Kenny, Ginni C. 4,325 175 Devery, Virginia S. 57,010 590 Wilson, Joe W. 3,615 205 Total employee taxes................................ 1. ( a) 1. ( b ) 1. ( c ) Total Taxable earnings............................................................................ x Applicable tax rate............................................................................ Totals................................................................................................. Total payroll taxes............................................................................................................... Employer Taxes: Portion of Employees' Earnings Taxable Under FICA HI FUTA SUTA .............................. 2