Using the information provided below, prepare a journal entry to record the payroll tax expense for Mr. B's Carpentry.
Assume:
FICA tax rates are: OASDI 6.2% on a limit of $106,800 and Medicare 1.45%
State unemployment tax rate is 2% on the first $7,000
Federal unemployment tax rate is 0.8% on the first $7,000.

Question

Using the information provided below, prepare a journal entry to record the payroll tax expense for Mr. B's Carpentry.
  Assume:
FICA tax rates are: OASDI 6.2% on a limit of $106,800 and Medicare 1.45%
State unemployment tax rate is 2% on the first $7,000
Federal unemployment tax rate is 0.8% on the first $7,000.

Quizplus · Accepted Answer

The Answer of Using the information provided below, prepare a journal entry to record the payroll tax expense for Mr. B's Carpentry.
  Assume:
FICA tax rates are: OASDI 6.2% on a limit of $106,800 and Medicare 1.45%
State unemployment tax rate is 2% on the first $7,000
Federal unemployment tax rate is 0.8% on the first $7,000.

Using the Information Provided Below, Prepare a Journal Entry to Record