Marissa’s Sushi has the following data for the weekly payroll ending January 31:
Hours |
||||||
Employee |
M |
T |
W |
T |
F |
S |
M. Hindi |
8 |
8 |
9 |
8 |
10 |
3 |
E. Benson |
8 |
8 |
8 |
8 |
8 |
2 |
K. Estes |
9 |
10 |
8 |
8 |
9 |
0 |
Hourly Rate |
Federal Income Tax Withholding |
Health Insurance |
$11 |
$34 |
$10 |
13 |
37 |
15 |
14 |
58 |
15 |
Employees are paid 11⁄2 times the regular hourly rate for all hours worked in excess of 40 hours per week. FICA taxes are 8 percent on the first $87,900 of gross earnings. Marissa’s Sushi is subject to 5.4 percent state unemployment taxes on the first $9,800 and 0.8 percent federal unemployment taxes on the first $7,000 of gross earnings.
Instructions
(a) Prepare the payroll register for the weekly payroll.
(b) Prepare the journal entries to record the payroll and Marissa’s payroll tax expense.