PR 11-5A Payroll register
The following data for Throwback Industries, Inc. relate to the payroll for the week ended December 7, 2012:
Employee
Hours
Worked
Hourly
Rate
Weekly
Salary
Federal
Income Tax
U.S. Savings
Bonds
Blanda 48 $44.00 $526.24 $ 45
Dawson 42 38.00 351.31 50
Fouts 44 46.00 402.04 55
Griese 36 32.00 241.92 65
Namath 45 40.00 399.00 0
Marino $2,200 528.00 44
Staubach 35 29.00 152.25 110
Starr 2,450 539.00 102
Unitas 41 38.00 315.40 0
Employees Marino and Starr are office staff, and all of the other employees are sales personnel. All sales personnel are paid 1½ times the regular rate for all hours in excess of 40 hours per week. The social security tax rate is 6.0%, and Medicare tax is 1.5% of each employee’s annual earnings. The next payroll check to be used is No. 625.
Instructions
1. Prepare a payroll register for Throwback Industries, Inc. for the week ended December 7, 2012. Use the following columns for the payroll register: Name, Total Hours, Regular Earnings, Overtime Earnings, Total Earnings, Social Security Tax, Medicare Tax, Federal Income Tax, U.S. Savings Bonds, Total Deductions, Net Pay, Ck. No., Sales Salaries Expense, and Office Salaries Expense.
2. Journalize the entry to record the payroll sales for the week.
Answer:
1. PAYROLL FOR WEEK ENDING December 7, 2012
EARNINGS DEDUCTIONS PAID
ACCOUNTS
DEBITED
Name
Total
Hours Regular Overtime Total
Social
Security
Tax
Medicare
Tax
Federal
Income
Tax
U.S.
Savings
Bonds Total
Net
Pay
Ck.
No.
Sales
Salaries
Expense
Office
Salaries
Expense
Blanda 48 1,760.00 528.00 2,288.00 137.28 34.32 526.24 45.00 742.84 1,545.16 625 2,288.00
Dawson 42 1,520.00 114.00 1,634.00 98.04 24.51 351.31 50.00 523.86 1,110.14 626 1,634.00
Fouts 44 1,840.00 276.00 2,116.00 126.96 31.74 402.04 55.00 615.74 1,500.26 627 2,116.00
Griese 36 1,152.00 1,152.00 69.12 17.28 241.92 65.00 393.32 758.68 628 1,152.00
Namath 45 1,600.00 300.00 1,900.00 114.00 28.50 399.00 541.50 1,358.50 629 1,900.00
Marino 2,200.00 132.00 33.00 528.00 44.00 737.00 1,463.00 630 2,200.00
Staubach 35 1,015.00 1,015.00 60.90 15.23 152.25 110.00 338.38 676.62 631 1,015.00
Starr 2,450.00 147.00 36.75 539.00 102.00 824.75 1,625.25 632 2,450.00
Unitas 41 1,520.00 57.00 1,577.00 94.62 23.66 315.40 433.68 1,143.32 633 1,577.00
10,407.00 1,275.00 16,332.00 979.92 244.99 3,455.16 471.00 5.151.07 11,180.93 11,682.00 4,650.00
2. Sales Salaries Expense................................................. 11,682.00
Office Salaries Expense................................................ 4,650.00
Social Security Tax Payable.................................... 979.92
Medicare Tax Payable.............................................. 244.99
Employees Federal Income Tax Payable ............... 3,455.16
Bond Deductions Payable....................................... 471.00
Salaries Payable....................................................... 11,180.93
Employee
Hours
Worked
Hourly
Rate
Weekly
Salary
Federal
Income Tax
U.S. Savings
Bonds
Blanda 48 $44.00 $526.24 $ 45
Dawson 42 38.00 351.31 50
Fouts 44 46.00 402.04 55
Griese 36 32.00 241.92 65
Namath 45 40.00 399.00 0
Marino $2,200 528.00 44
Staubach 35 29.00 152.25 110
Starr 2,450 539.00 102
Unitas 41 38.00 315.40 0
Employees Marino and Starr are office staff, and all of the other employees are sales personnel. All sales personnel are paid 1½ times the regular rate for all hours in excess of 40 hours per week. The social security tax rate is 6.0%, and Medicare tax is 1.5% of each employee’s annual earnings. The next payroll check to be used is No. 625.
Instructions
1. Prepare a payroll register for Throwback Industries, Inc. for the week ended December 7, 2012. Use the following columns for the payroll register: Name, Total Hours, Regular Earnings, Overtime Earnings, Total Earnings, Social Security Tax, Medicare Tax, Federal Income Tax, U.S. Savings Bonds, Total Deductions, Net Pay, Ck. No., Sales Salaries Expense, and Office Salaries Expense.
2. Journalize the entry to record the payroll sales for the week.
Answer:
1. PAYROLL FOR WEEK ENDING December 7, 2012
EARNINGS DEDUCTIONS PAID
ACCOUNTS
DEBITED
Name
Total
Hours Regular Overtime Total
Social
Security
Tax
Medicare
Tax
Federal
Income
Tax
U.S.
Savings
Bonds Total
Net
Pay
Ck.
No.
Sales
Salaries
Expense
Office
Salaries
Expense
Blanda 48 1,760.00 528.00 2,288.00 137.28 34.32 526.24 45.00 742.84 1,545.16 625 2,288.00
Dawson 42 1,520.00 114.00 1,634.00 98.04 24.51 351.31 50.00 523.86 1,110.14 626 1,634.00
Fouts 44 1,840.00 276.00 2,116.00 126.96 31.74 402.04 55.00 615.74 1,500.26 627 2,116.00
Griese 36 1,152.00 1,152.00 69.12 17.28 241.92 65.00 393.32 758.68 628 1,152.00
Namath 45 1,600.00 300.00 1,900.00 114.00 28.50 399.00 541.50 1,358.50 629 1,900.00
Marino 2,200.00 132.00 33.00 528.00 44.00 737.00 1,463.00 630 2,200.00
Staubach 35 1,015.00 1,015.00 60.90 15.23 152.25 110.00 338.38 676.62 631 1,015.00
Starr 2,450.00 147.00 36.75 539.00 102.00 824.75 1,625.25 632 2,450.00
Unitas 41 1,520.00 57.00 1,577.00 94.62 23.66 315.40 433.68 1,143.32 633 1,577.00
10,407.00 1,275.00 16,332.00 979.92 244.99 3,455.16 471.00 5.151.07 11,180.93 11,682.00 4,650.00
2. Sales Salaries Expense................................................. 11,682.00
Office Salaries Expense................................................ 4,650.00
Social Security Tax Payable.................................... 979.92
Medicare Tax Payable.............................................. 244.99
Employees Federal Income Tax Payable ............... 3,455.16
Bond Deductions Payable....................................... 471.00
Salaries Payable....................................................... 11,180.93
