Exercise 13-7.docx - Exercise 13-7(Part Level Submission Carla Hardware Companys payroll for November 2017 is summarized below Amount Subject to Payroll

# Exercise 13-7.docx - Exercise 13-7(Part Level Submission...

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Exercise 13-7 (Part Level Submission)Carla Hardware Company’s payroll for November 2017 is summarized below.Amount Subject to PayrollTaxesUnemployment TaxPayrollWagesDueFICAFederalStateFactory\$130,500\$130,500\$37,000\$37,000Sales34,00034,0003,6003,600Administrative38,30038,300Total\$202,800\$202,800\$40,600\$40,600At this point in the year, some employees have already received wages in excess of those to which payroll taxes apply. Assume that the state unemployment tax is 2.5%. The FICA rate is 7.65% on an employee’s wages to \$118,500 and 1.45% in excess of \$118,500. Of the \$202,800 wages subject to FICA tax, \$20,500 of the sales wages is in excess of \$118,500. Federal unemployment tax rate is 0.8% after credits. Income tax withheld amounts to \$15,700 for factory, \$7,100 for sales, and \$6,000 for administrative.*(a)Your answer is correct.Prepare a schedule showing the employer’s total cost of wages for November by function. (Round answers to 0 decimal places, e.g. 5,275.)FactorySalesAdministrativeTotalSalaries and Wages\$130500\$34000\$38300\$202800FICA Taxes99831330293014243FUTA Taxes29629325SUTA Taxes925901015Total Cost\$141704\$35449\$41230\$218383Attempts: 1 of 3 used

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• Summer '17