Dooley Publishing has the following payroll data for its July 1 pay date: Jul 1 Wages and salaries expense 522 $ 182,930.00
Federal withholding tax payable 220 $ ???
Social Security tax payable 221 10,517.12
Medicare tax payable 222 2,459.65
401(k) contributions payable 223 6,402.55
Health Insurance payable 224 13,299.01
Union Dues payable 227 4,573.25
Wages and salaries payable 226 113,562.94
Jul 1 Wages and salaries payable 226 113,562.94
Cash 101 113,562.94
How much Federal withholding tax was deducted from employees' pay?
A) $42,083.87
B) $29,391.98
C) $15,203.14
D) $32,115.48

Question

Quizplus · Accepted Answer

To determine the amount of Federal withholding tax deducted from employees' pay, we need to use the following formula:
Total payroll - (Social Security tax + Medicare tax + 401(k) contributions + Health Insurance + Union Dues + Net payroll) = Federal withholding tax
Substituting with the given data, we have:
$182,930.00 - ($10,517.12 + $2,459.65 + $6,402.55 + $13,299.01 + $4,573.25 + $113,562.94) = Federal withholding tax
$182,930.00 - $150,814.52 = Federal withholding tax
$32,115.48 = Federal withholding tax

Therefore, the answer is D) $32,115.48.

Dooley Publishing Has the Following Payroll Data for Its July