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Business, 21.04.2020 19:37 ncontreras06
Midwest Shipping pays employees at the end of each month. Payroll information is listed below for January, the first month of the fiscal year. Assume that none of the employees exceeds the Federal unemployment tax maximum salary of $7,000 in January.
Salaries $ 700,000
Federal and state income taxes withheld 150,000
Federal unemployment tax rate 0.80 %
State unemployment tax rate (after FUTA deduction) 5.40 %
Social Security (FICA) tax rate 7.65 %
Record salaries expense and payroll tax expense for the January pay period. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
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