THIS USER ASKED ๐
The following totals for the month of june were taken from the payroll register of xenos company: salaries expense $14,000 social security and medicare taxes withheld 1,050 federal income taxes withheld 2,800 retirement savings 500 the entry to record the accrual of employer’s payroll taxes would include a a. debit to payroll tax expense for $2,800. b. credit to social security and medicare tax payable for $2,100. c. debit to payroll tax expense for $1,050. d. debit to payroll tax expense for $500.
THIS IS THE BEST ANSWER ๐
c. debit for Payroll Tax Expenses at $ 1,050.
Explanation:
The payroll tax cost includes various expenses such as – Social security tax payable, medicare tax payable, unemployment tax payable, etc.
So let’s just consider these items.
The journal entry is shown below:
Payroll cost A / c Dr.
With social security taxes payable A / c
Medicare taxes payable A / c
(Recorded as payroll cost)
All other information given is not relevant. Hence, he ignored it
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