Question

Preston, an employee of Ace Electric, Inc., has gross salary for March of $4,100. The entire amount is under the OASDI limit of $118,500 and thus subject to FICA tax. He is also subject to federal income tax at a rate of 11%. Preston has a deduction of $430 for health insurance and $40 for United Way. Prepare the journal entries. Omit explanation. (Round all amounts to the nearest cent. Record debits first, then credits.) 1) Record salaries expense and payroll withholdings. (Assume a FICA-OASDI Tax of 6.2% and FICA-Medicare Tax of 1.45%.). Accounts and Explanation Debit Credit 2) Record the payment of salary to Preston. Accounts and Explanation Debit Credit

          Preston, an employee of Ace Electric, Inc., has gross salary for March of $4,100. The entire amount is under the OASDI limit of $118,500 and thus subject to FICA tax. He is
also subject to federal income tax at a rate of 11%. Preston has a deduction of $430 for health insurance and $40 for United Way. Prepare the journal entries. Omit
explanation. (Round all amounts to the nearest cent. Record debits first, then credits.)
1) Record salaries expense and payroll withholdings. (Assume a FICA-OASDI Tax of 6.2% and FICA-Medicare Tax of 1.45%.).
Accounts and Explanation
Debit
Credit
2) Record the payment of salary to Preston.
Accounts and Explanation
Debit
Credit

Preston, an employee of Ace Electric, Inc., has gross salary for March of 4,100. The entire amount is under the OASDI limit of118,500 and thus subject to FICA tax. He is
also subject to federal income tax at a rate of 11%. Preston has a deduction of $430 for health insurance and $40 for United Way. Prepare the journal entries. Omit
explanation. (Round all amounts to the nearest cent. Record debits first, then credits.)
1) Record salaries expense and payroll withholdings. (Assume a FICA-OASDI Tax of 6.2% and FICA-Medicare Tax of 1.45%.).
Accounts and Explanation
Debit
Credit
2) Record the payment of salary to Preston.
Accounts and Explanation
Debit
Credit

Added by Juan Jos- P.

Question

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