Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What entry in normal accounting would properly record a $500 salary expenso? (assume that a 6% FICA tax rate and a 10% Federal income tax

image text in transcribed
What entry in normal accounting would properly record a $500 salary expenso? (assume that a 6% FICA tax rate and a 10% Federal income tax rate are both applicable to the salary calculation) a. Debit Salary expense $500 Credit Cash $500 b. Debit Salary expense $500 Credit FICA Payable $30 Credit FIT Payable $ 50 Credit Cash $420 O Debit Salary expense $420 Debit FICA tax expenso $ 30 Debit FIT tax expense $50 Credit Cash $500 d. Debit Salary expense $500 Debit Payroll tax payable $ 80 Credit Cash $580

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

College Accounting Chapters 1 24

Authors: Douglas J. Mcquaig, Patricia Bille, Tracie L. Nobles

10th Edition

1439037752, 9781439037751

More Books

Students also viewed these Accounting questions

Question

Appreciate the rationale for having a human resources department.

Answered: 1 week ago

Question

What are some global employee and labor relations problems?

Answered: 1 week ago