101.The following totals for the month of April were taken from the payroll register of Magnum Company:
Salaries
|
$10,000
|
FICA taxes withheld
|
750
|
Income taxes withheld
|
2,000
|
Medical insurance deductions
|
450
|
Unemployment taxes
|
420
|
The entry to record accrual of employer’s payroll taxes would include a
a.debit to Payroll Tax Expense for $1,170
b.debit to FICA Taxes Payable for $1,500
c.credit to Payroll Tax Expense for $420
d.debit to Payroll Tax Expense for $1,620
102.An employee receives an hourly rate of $15, with time and a half for all hours worked in excess of 40 during theweek. Payroll data for the current week are as follows: hours worked, 46; federal income tax withheld, $110;cumulative earnings for the year prior to this week, $24,500; Social security tax rate, 6%; and Medicare tax rate,1.5%; state unemployment compensation tax, 3.4% on the first $7,000; federal unemployment compensation tax,0.8% on the first $7,000. What is the net amount to be paid to the employee?
a. $569.87
b. $539.00
c. $625.00
d. $544.88
103.The following totals for the month of June were taken from the payroll register of Young Company:
a. Payroll Tax Expense for $2,498
b. Social Security and Medicare Tax Payable for $2,250
c.Payroll Tax Expense for $1,373
d.Payroll Tax Expense for $1,125
104.Salaries Payable would be recorded in the amount of
a. $8,200
b. $6,830
c. $8,630
d. $7,450
105.Assuming that all wages are subject to federal and state unemployment taxes, the employer's payroll tax expensewould be
a. $1,370
b. $750
c. $620
d. $2,870
106.Assume that social security taxes are payable at a 6% rate and Medicare taxes are payable at a 1.5% rate with nomaximum earnings, and that federal and state unemployment compensation taxes total 4.6% on the first $7,000 ofearnings. If an employee earns $2,500 for the current week and the employee's year-to-date earnings before thisweek were $6,800, what is the total payroll taxes related to the current week?
a. $187.50
b. $196.70
c. $344.50
d. $9.20
107.According to a summary of the payroll of Scotland Company, $450,000 was subject to the 6.0% social security taxand $500,000 was subject to the 1.5% Medicare tax. Federal income tax withheld was $98,000. Also, $15,000 wassubject to state (4.2%) and federal (0.8%) unemployment taxes. The journal entry to record accrued payroll taxeswould include a
a.debit to SUTA Payable of $630
b.debit to SUTA Payable of $18,900
c.credit to SUTA Payable of $630
d.credit to SUTA Payable of $18,900
108.Which of the following is an example of a variable component of a payroll system?
a.hours worked
b.Medicare tax rate
c.rate of pay
d.social security number
109.According to a summary of the payroll of Scotland Company, $450,000 was subject to the 6.0% social security taxand $500,000 was subject to the 1.5% Medicare tax. Federal income tax withheld was $98,000. Also, $15,000 wassubject to state (4.2%) and federal (0.8%) unemployment taxes. The journal entry to record accrued salaries wouldinclude a
a.debit to Salary Payable of $450,000
b.credit to Salary Payable of $500,000
c.debit to Salary Expense of $500,000
d.credit to Salary Expense of $450,000
110.According to a summary of the payroll of Scotland Company, $450,000 was subject to the 6.0% social security taxand $500,000 was subject to the 1.5% Medicare tax. Federal income tax withheld was $98,000. Also, $15,000 wassubject to state (4.2%) and federal (0.8%) unemployment taxes. The journal entry to record accrued salarieswould include a
a.debit to Salaries Payable of $313,000
b.credit to Salaries Payable of $364,500
c.debit to Salaries Expense of $364,500
d.credit to Salaries Expense of $313,000