Use This Information to Answer the Following Question

question 154

Multiple Choice

Use this information to answer the following question. The following totals for the month of July were taken from the payroll register of Greene Company:
The entry to record the accrual of federal unemployment tax (assume FUTA tax of .8 percent) would include a

• A) credit to Federal Unemployment Tax Payable for $64.
• B) debit to Federal Unemployment Tax Payable for $64.
• C) debit to FUTA Tax Expense for $64.
• D) credit to Payroll Taxes and Benefits Expense for $64.

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Definitions:

Operating Activities

Activities that constitute the primary or main activities of an entity, including cash flows from producing and delivering goods and providing services.

Noncontrolling Interest

An ownership interest in a company that is less than 50%, usually reflected as a separate component of equity on a parent company’s balance sheet, representing the portion of its subsidiaries not owned by the parent.

Dividends

Distributions made from a company's earnings to its shareholders, typically in the form of cash.

Consolidated Statement

A financial report that combines the financial results of a parent company and its subsidiaries, presenting the financials as a single entity.