MGMT 1A Chapter Notes - Chapter 10: California State Disability Insurance, Federal Insurance Contributions Act Tax, Federal Unemployment Tax Act
Document Summary
Payroll tax payable: employee and employer separate portions. Sales of with 8. 75% sales tax: debit cash . 5. When pa(cid:455)ing sales ta(cid:454) to gov"t: debit sales tax payable . 5. Seller sells 200 phones, with 12% estimated to require repairs (and thus, expenses) Each repair = : december 1: 4 phones need repairs. Credit cash : december 30: accrue for the rest of the warranties. 200 * . 12 = 24 phones 4 repaired phones = 20 phones. Credit estimated warranty liability : when more phones need repairs. Federal insurance contributions act: old age, survivor, disability insurance (aka social security) State disability insurance: 1% of first ,378. Federal insurance contributions act: oasdi (6. 2% of first ,500, medicare (1. 45% of all earned income) Federal unemployment tax act (6%: can get deductions in accordance with the state unemployment tax amount. State unemployment tax act (3. 4% in california)
