According to a Summary of the Payroll of Scotland Company,$450,000

question 41

Multiple Choice

According to a summary of the payroll of Scotland Company,$450,000 was subject to the 6.0% social security tax and $500,000 was subject to the 1.5% Medicare tax.Federal income tax withheld was $98,000.Also,$15,000 was subject to state 4.2% and federal 0.8% unemployment taxes.The journal entry to record accrued salaries would include a

• A)debit to Salaries Payable of $313,000
• B)credit to Salaries Payable of $364,500
• C)debit to Salaries Expense of $364,500
• D)credit to Salaries Expense of $313,000

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Definitions:

Foreign Manufacturer

A company that produces goods in a country other than where the goods are sold or consumed.

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The recognized monetary unit of Denmark, which is also utilized in Greenland and the Faroe Islands.

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The currency of the United Kingdom, represented as GBP (£).

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