EX 11-13 Payroll entries

Faber Company had gross wages of $110,000 during the week ended June 17. The amount of wages subject to social security tax was $110,000, while the amount of wages subject to federal and state unemployment taxes was $15,000. Tax rates are as follows:

Social security

6.0%

Medicare

1.5%

State unemployment

5.4%

Federal unemployment

0.8%

The total amount withheld from employee wages for federal taxes was $22,000.

a. Journalize the entry to record the payroll for the week of June 17.

b. Journalize the entry to record the payroll tax expense incurred for the week of June 17.