Do It Review 101b During the month of February Riverbed Corp

Do It! Review 10-1b During the month of February, Riverbed Corp’s employees earned wages of $94,720. Withholdings related to these wages were $7,246 for Social Security (FICA), $9,088 for federal income tax, and $2,432 for state income tax. Costs incurred for unemployment taxes were $141 for federal and $205 for state. Prepare the February 28 journal entries for (a) Salaries and wages expense and salaries and wages payable assuming that all February wages will be paid in March (b) The company’s payroll tax expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Date Account Titles and Explanation Debit Credit a) Feb. 28 b) Feb. 28 SHOW LIST OF ACCOUNTS LINK TO TEXT Question Attempts: 0 of 2 used SAVE FOR LATER SUBMIT ANSWER

Solution

Journal Entries Date Accounts title and explanations Debit $ Credit $ Feb Salaries and wages expense Account Dr. 94720      FICA tax payable Account 7246      Federal income Tax payable 9088      State income tax payable 2432      Salaries and wages payable 75954 Feb Payroll Tax expense Account Dr. 7592      FICA tax payable Account 7246       State unemployment tax Account 205        Federal Unemployment Tax Account 141 Mar Salaries and wages payable Account Dr. 75954      Cash Account 75954