Question

Form 941, which is used to report employee earnings, the federal income taxes withheld, and the social security and Medicare taxes, must be filed each time a firm makes a required deposit of the taxes due. True or False

SUTA tax, like social security tax, is paid by both the employer and the employee and, therefore, is withheld from employee's pay.? True or False

The bank reconciliation for a company shows a book balance of $31,640, an NSF check of $800, and a service charge of $40. The adjusted book balance is

Multiple Choice

• $30,800.

• $32,480.

• $30,880.

• $32,400.

Most businesses use the petty cash fund to pay for

Multiple Choice

• small expenditures.

• accounts payable.

• internal expenses.

• office lunches.

A company correctly wrote a check for $87 but entered the amount as payment of $78 in its records. On a bank reconciliation statement this error would be shown as

Multiple Choice

• a deduction of $9 from the book balance.

• an addition of $9 to the book balance.

• a deduction of $9 from the bank statement balance.

• an addition of $9 to the bank statement balance.

In April a company paid $63.75 for postage and $72.22 for miscellaenous expenses from the petty cash fund. The entry to replenish the petty cash fund at the end of April includes

Multiple Choice

• a credit to Cash for $135.97.

• a credit to Postage for $63.75.

• a debit to Cash for $135.97.

• a debit to Petty Cash for $135.97.

An employee earns $22 per hour. He worked 49 hours this pay period and receives time-and-a-half for any hours worked over 40 hours per week. The employee's gross earnings are:

Multiple Choice

• $977

• $1,960

• $1,177

• $1,078

Answer 1

1) True Employers files form 941 to report tax, Medicare taxes & social security withheld from employees paycheck.

2)True social security is p​​​​​​aid by both employer & employees

3) book balance. 31640

Less NSF Check. (800)

Less service charge. (40)

Adjusted book balance. 30800

4) Petty cash fund is used for small expenditure

5) a deduction of 9 from book balance because 87 has been deducted from bank account but only 78 has been shown as deduction in books. So further 9 has to be shown as deduction in books

6) a debit to petty cash of $135.97 entry will be

Petty Cash dr. 135.97

To cash. 135.97

7)Answer is 1177

(49+9*.5)*22 = 1177

He will receive payment for 49 plus any hour worked over 40 he receive payment for half time like he will receive 49hrs payment plus 49-40 ie 9 hrs half payment ie 4.5hrs payment.