Question

The following monthly data are taken from Ramirez Company at July 31: Sales salaries, $400,000; Office salaries, $80,000; Federal income taxes withheld, $120,000; State income taxes withheld, $27,000; Social security taxes withheld, $29,760; Medicare taxes withheld, $6,960; Medical insurance premiums, $9,500; Life insurance premiums, $6,500; Union dues deducted, $3,500; and Salaries subject to unemployment taxes, $55,000. The employee pays 40% of medical and life insurance premiums. Assume that FICA taxes are identical to those on employees and that SUTA taxes are 5.4% and FUTA taxes are 0.6%.

1&2. Using the above information, complete the below table and prepare the journal entries to record accrued payroll and cash payment of the net payroll for July.
3. Using the above information, complete the below table.
4. Record the accrued employer payroll taxes and all other employer-paid expenses and the cash payment of all liabilities for July-assume that FICA taxes are identical to those on employees and that SUTA taxes are 5.4% and FUTA taxes are 0.6%.

I just need help with req 4

1.) Record all employer's payroll expenses and liabilities for the month of July.

Note: Enter debits before credits.

	Date General Journal Debit Credit July 31 Payroll taxes expense 46,420 FICA—Social sec. taxes payable 29,760 FICA—Medicare taxes payable 6,960 State unemployment taxes payable 2,970 Federal unemployment taxes payable 330

2.)Record the employer's benefit expense.

	Date General Journal Debit Credit July 31 Employee benefits expense Employee medical insurance payable 3,800 Employee life insurance payable 2,600

3.) Record the cash payment of all liabilities related to the July payroll.

	Date General Journal Debit Credit July 31 FICA—Social sec. taxes payable FICA—Medicare taxes payable Employee fed. inc. taxes payable Employee state income taxes payable Employee medical insurance payable Employee life insurance payable Employee union dues payable State unemployment taxes payable Federal unemployment taxes payable Cash

Answer 1

Requirement 4:

No	Date	General Journal	Debit	Credit
1	July 31	Payroll taxes expense	40020
		FICA-Social sec. taxes payable		29760
		FICA-Medicare taxes payable		6960
		State Unemployment Taxes Payable (5.4% x $55000)		2970
		Federal Unemployment Taxes Payable (0.6% x $55000)		330
2	July 31	Employee Benefits expense	9600
		Employee Medical Insurance Payable (60% x $9500)		5700
		Employee Life Insurance Payable (60% x $6500)		3900
3	July 31	FICA-Social sec. taxes payable	59520
		FICA-Medicare taxes payable	13920
		Employee fed. inc. taxes payable	120000
		Employee state income taxes payable	27000
		Employee Medical Insurance Payable	9500
		Employee Life Insurance Payable	6500
		Employee Union dues payable	3500
		State Unemployment Taxes Payable	2970
		Federal Unemployment Taxes Payable	330
		Cash		243240