Art Parrish,the Sole Employee of Parrish Sales,has Gross Salary for March

question 102

Essay

Art Parrish,the sole employee of Parrish Sales,has gross salary for March of $4,000.The entire amount is under the OASDI limit of $106,800,and thus subject to FICA.He is also subject to federal income tax at a rate of 18%.Please provide the second entry in the payroll cycle to record the disbursement of his net pay.
$$\begin{array} { | l | r | r | } \hline \quad\quad\quad&\quad&\quad \\\hline \\\hline \\\hline \\\hline\end{array}$$

---

Definitions:

Portfolio

An aggregation of financial assets ranging from stocks and bonds to commodities, alongside cash and equivalents like mutual funds and ETFs.

Stock A

A general term used to refer to a type of security that signifies ownership in a corporation and represents a claim on part of the corporation's assets and earnings.

Stock C

A generic term that could refer to a third class of stock; however, without specific context, its meaning can vary.

Arbitrage Pricing Theory

A theory that designs to predict the price of assets by considering the relationship between a financial asset's returns and the macroeconomic factors that directly affect it.