The payroll summary for the monthly pay period ending July 15 indicated the following sales wages $125,000 Federal income tax withheld 32,300 office wages 35,000 health insurance withheld 7,370 Social security tax withheld 10,200 Medicare tax withheld 2,550 Required Make journal entries to record (a) the payroll and (b) the employer's employment tax expense for the month The state unemployment tax rate is 3 1 and the federal unemployment tax rate is 0 8 Only $25,000 of wages is subject to unemployment taxes Please refer to the Chart of Accounts for the exact wording of account titles chart of accounts CHART OF ACCOUNTS Ledger ASSETS 110 Money 111 accounts receivable 112 interest receivable 113 Uncollectible documents 115 Merchandise inventory 116 supplies 118 prepaid insurance 120 Tierra 123 Building 124 Accumulated Depreciation Building 125 Office team 126 Accumulated Depreciation Office Equipment PASSIVE 210 Accounts payable 213 interest to pay 214 Pay 221 Salaries to pay 222 Social Security Tax to Pay 223 Medicare tax payable 224 Federal Income Tax Payable 225 State income tax payable 226 Federal Unemployment Tax Payable 227 State unemployment tax payable 228 state disability insurance 231 Medical insurance to pay 232 Retirement savings deductions payable 233 union dues payable 234 Holiday pay payable 241 Product warranty to pay EQUITY 310 Owner, Equity 311 Owner, Drawing 312 Income Summary REVENUE 410 Sales 610 The return on an investment BILLS 510 cost of goods sold 520 Sale Wages Expense 521 Office salary expenses 525 Shipping costs 526 Repair Expenses 531 Rental costs 533 insurance costs 534 Supply expenses 535 Cash Short and More 536 Product warranty expenses 541 Payroll tax expense 542 Vacation pay expense 543 Federal income tax expense 544 State Income Tax Expense 551 Depreciation Expenses Construction 552 Depreciation Expenses Office Equipment 590 Miscellaneous expenses 710 Interest expenses General diary Journal of entries to record the payroll Please refer to the Chart of Accounts for the exact wording of account titles PAGE 1 DIARY DATE DESCRIPTION MAIL REFEREE DEBIT CREDIT 1 2 3 4 5 6 7 Journalize the entries to record the employer's employment tax expense The state unemployment tax rate is 3 1 and the federal unemployment tax rate is 0 8 Only $25,000 of wages is subject to unemployment taxes Please refer to the Chart of Accounts for the exact wording of account titles PAGE 1 DIARY DATE DESCRIPTION MAIL REFEREE DEBIT CREDIT 1 2 3 4 5

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The payroll summary for the monthly pay period ending July 15 indicated the following: sales wages $125,000 Federal income tax withheld 32,300 office wages 35,000

The payroll summary for the monthly pay period ending July 15 indicated the following:

sales wages	$125,000
Federal income tax withheld	32,300
office wages	35,000
health insurance withheld	7,370
Social security tax withheld	10,200
Medicare tax withheld	2,550

Required:

Make journal entries to record (a) the payroll and (b) the employer's employment tax expense for the month. The state unemployment tax rate is 3.1% and the federal unemployment tax rate is 0.8%. Only $25,000 of wages is subject to unemployment taxes. Please refer to the Chart of Accounts for the exact wording of account titles.

chart of accounts

CHART OF ACCOUNTS

Ledger

	ASSETS
110	Money
111	accounts receivable
112	interest receivable
113	Uncollectible documents
115	Merchandise inventory
116	supplies
118	prepaid insurance
120	Tierra
123	Building
124	Accumulated Depreciation-Building
125	Office team
126	Accumulated Depreciation-Office Equipment

	PASSIVE
210	Accounts payable
213	interest to pay
214	Pay
221	Salaries to pay
222	Social Security Tax to Pay
223	Medicare tax payable
224	Federal Income Tax Payable
225	State income tax payable
226	Federal Unemployment Tax Payable
227	State unemployment tax payable
228	state disability insurance
231	Medical insurance to pay
232	Retirement savings deductions payable
233	union dues payable
234	Holiday pay payable
241	Product warranty to pay

	EQUITY
310	Owner, Equity
311	Owner, Drawing
312	Income Summary

	REVENUE
410	Sales
610	The return on an investment

	BILLS
510	cost of goods sold
520	Sale Wages Expense
521	Office salary expenses
525	Shipping costs
526	Repair Expenses
531	Rental costs
533	insurance costs
534	Supply expenses
535	Cash Short and More
536	Product warranty expenses
541	Payroll tax expense
542	Vacation pay expense
543	Federal income tax expense
544	State Income Tax Expense
551	Depreciation Expenses-Construction
552	Depreciation Expenses-Office Equipment
590	Miscellaneous expenses
710	Interest expenses

General diary

Journal of entries to record the payroll. Please refer to the Chart of Accounts for the exact wording of account titles.

PAGE 1

DIARY

	DATE	DESCRIPTION	MAIL. REFEREE.	DEBIT	CREDIT
1
2
3
4
5
6
7

Journalize the entries to record the employer's employment tax expense. The state unemployment tax rate is 3.1% and the federal unemployment tax rate is 0.8%. Only $25,000 of wages is subject to unemployment taxes. Please refer to the Chart of Accounts for the exact wording of account titles.

PAGE 1

DIARY