chapter 10 & 11 practice activity Key
1.During one week, three employees of the Snowshoe Lodge worked the number of hours shown below. All these employees receive overtime pay at one and a half times their regular hourly rate for any hours worked beyond 40 in a week. Compute the regular earnings, overtime earnings, and gross pay for each employee.
Employee No. 1: Reg. Earn., $480.00; OT Prem., $108.00; Gross, $588.00
Employee No. 2: Reg. Earn., $360.00; OT Prem., $54.00; Gross, $414.00
Employee No. 3: Reg. Earn., $340.00; OT Prem., $63.75; Gross, $403.75
Learning Objective: 2
Level: Easy
Price - 010 Payroll... #56
Section: 2
2.The monthly salaries for December and the year-to-date earnings as of November 30 for the three employees of the Lakeview Medical Center are listed below. Compute the amount of social security tax and Medicare tax to be withheld from each of the employee's gross pay for December. Assume a 6.2 percent social security tax rate and a base of $90,000 for the calendar year. Assume a 1.45 percent Medicare tax rate.
Employee No. 1: Soc. Sec. Tax, $341.00; Medicare Tax, $79.75
Employee No. 2: Soc. Sec. Tax, zero; Medicare Tax, $101.50
Employee No. 3: Soc. Sec. Tax, $310.00; Medicare Tax, $94.25
Learning Objective: 3
Learning Objective: 4
Level: Medium
Price - 010 Payroll... #60
Section: 2
3.After the JPR Corporation paid its employees on May 15, 20--, and recorded the corporation's share of payroll taxes for the payroll paid that date, the firm's general ledger showed a balance of $1,730 in the Social Security Tax Payable account, a balance of $356 in the Medicare Tax Payable account, and a balance of $1,972 in the Employee Income Tax Payable account. On May 16, 20--, the business issued a check to deposit the taxes owed in the local bank. Record this transaction on page 7 of a general journal.
Learning Objective: 3
Level: Medium
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Section: 1
4.After the Mansley Company paid its employees on July 15, 20--, and recorded the corporation's share of payroll taxes for the payroll paid that date, the firm's general ledger showed a balance of $1,695 in the Social Security Tax Payable account, a balance of $321 in the Medicare Tax Payable account, and a balance of $1,968 in the Employee Income Tax Payable account. On July 16, 20--the business issued a check to deposit the taxes owed in the local bank. Record this transaction on page 23 of a general journal.
Learning Objective: 3
Level: Medium
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Section: 1
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LearningObjective:4 / 1
Level:Easy / 1
Level:Medium / 3
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