Required Informetion IThe following information applies to the questions display

Question

Required Informetion IThe following information applies to the questions displayed below. BMX Company has one em ployee. FICA Social Security taxes are 6.2% of the first $118,500 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 2.9% of the first $7,000 paid to Its employee. Gross Pay through August $ 5,388 Gross Pay for September $2,688 2,988 8, 8e0 19,88e 113,888 Assuming situation a, prepare the employer's September 30 Journal entries to record the employer's payroll taxes expense and Its related liabilities. (Round your answers to 2 declmal places.) September earnings subject to tax Employer Payroll taxes Tax Rate Tax Amount 0.00

Explanation / Answer

Tax September Earnings Subject to Tax Tax Rate Tax Amount FICA-Social Security 2600 6.20% 161.2 FICA-Medicare 2600 1.45% 37.7 FUTA 1700 0.60% 10.2 SUTA 1700 2.90% 49.3 258.4 Date General Journal Debit Credit Sep. 30 Payroll taxes expense 258.4 FICA—Social security taxes payable 161.2 FICA—Medicare taxes payable 37.7 Federal unemployment taxes payable 10.2 State unemployment taxes payable 49.3

Related Questions

Navigate

• Browse (All)
• Browse R
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.