Federal State Income Income Hours Pay Rate Name Boggs, Kris Combs, Ella Davis, J.R. Fink, Ellen Grey, Aaron Haute, Neil Reich, Kevin Wells, Lisa Worked 43 40 40 52 25 44 42 18 $13.65 $12.50 $11.95 $38.00 $11.50 $15.00 $16.25 $12.75 Earnings at End of Previous Week $21,536.00 $21,988.00 $21,160.00 $136,780.00 $6,096.00 $21,040.00 $25,690.00 $6,855.00 Tax 116.50 115.00 119.50 454.75 57.75 110.00 160.30 48.40 Tax 18.64 18.40 19.12 72.76 9.24 17.60 25.65 7.74 Employees are paid time-and-a-half for work in excess of forty hours per week. Taxable earnings for Social Security are based on the first $137,700. Taxable earnings for Medicare are based on all earnings. Taxable earnings for federal and state unemployment are based on the first $7,000. State unemployment tax rate is 5.4% and federal unemployment tax rate is .6%. Instructions 1. Complete the payroll register, page 37. The Social Security tax rate is 6.2% for employees and employers and the Medicare tax rate is 1.45%. 2. Prepare a journal entry to record the payroll as of December 7. 3. Prepare a journal entry to record the payroll taxes as of December 7. 4. Journalize the entry to pay the payroll on December 9. Assume that the company has transferred cash to the Cash-Payroll Bank Account for this payroll. Payroll checks begin with Ck. No. 714 in the check register. 1 3 4 Taxable Earnings Deductions Medicare 5 Beginning Cumulative Earnings Payments Net Total Ending Cumulative Earnings Total Social Fed. Inc. Hourly Wage Rate Soc. Sec. State Inc. Wages Expense 6 Name Hours Earnings Unemploy. Security Medicare Tax Tax Tax Tax Total Amount Ck. No. 7 1 Boggs, Kris 43 $ 13.65 $ 21,536.00 116.50 18.64 8 2 Combs, Ella 40 $ 12.50 $ 21,988.00 115.00 18.40 9 3 Davis, J.R. 40 $ 11.95 $ 21,160.00 119.50 19.12 10 4 Fink, Ellen 52 $ 38.00 $ 136,780.00 454.75 72.76 11 5 Grey, Aaron 25 $ 11.50 $ 6,096.00 57.75 9.24 12 6 Haute, Neil 44 $ 15.00$ 21,040.00 110.00 17.60 13 7 Reich, Kevin 42 $ 16.25 $ 25,690.00 160.30 25.65 14 8 Wells, Lisa 18 $ 12.75 $ 6,855.00 48.40 7.74 15 $ 261,145.00 1,182.20 189.15 16 General Journal 2 3 Post Ref 4 Description Debit Credit Date 20xx 5 1 6 2 7 3 8 9 4 51 6 10 11 7 12 8 13 9 14 10 15 11 16 12 17 13 18 14 19 15 20 16 21 17 22 181 23 19 24 20 25 21 26 221 27 23 28 241 29 25 30 26 31 271 32 28