BMX Company has one employee. FICA Social Security taxes are6.2% of the first $128,400...

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BMX Company has one employee. FICA Social Security taxes are6.2% of the first $128,400 paid to its employee, and FICA Medicaretaxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% andSUTA taxes are 5.4% of the first $7,000 paid to its employee.
Gross Pay through
August 31 Gross Pay for September
a. $ 5,900 $ 1,400
b. 2,700 2,800
c. 123,500 9,400
Compute BMX’s amounts for each of these four taxes as applied tothe employee’s gross earnings for September under each of threeseparate situations (a), (b), and (c).(Round your answers to 2 decimal places.)
Assuming situation (a), prepare the employer’sSeptember 30 journal entries to record salary expense and itsrelated payroll liabilities for this employee. The employee’sfederal income taxes withheld by the employer are $80 for this payperiod.
Assuming situation (a), prepare the employer’sSeptember 30 journal entries to record the employer’spayroll taxes expense and its related liabilities.

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a Employer Payroll taxes September Earnings Subject to Tax Tax Rate Tax Amount FICASocial Security 1400 620 8680 FICAMedicare 1400 145 2030 FUTA 1100 7000 5900 060 660 SUTA 1100 7000 5900 540 5940 b Tax September Earnings Subject to Tax Tax Rate Tax Amount FICASocial Security 2800 620 1736 FICAMedicare See Answer

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In: AccountingBMX Company has one employee. FICA Social Security taxes are6.2% of the first $128,400 paid...BMX Company has one employee. FICA Social Security taxes are6.2% of the first $128,400 paid to its employee, and FICA Medicaretaxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% andSUTA taxes are 5.4% of the first $7,000 paid to its employee.Gross Pay throughAugust 31Gross Pay for Septembera.$5,900$1,400b.2,7002,800c.123,5009,400Compute BMX’s amounts for each of these four taxes as applied tothe employee’s gross earnings for September under each of threeseparate situations (a), (b), and (c).(Round your answers to 2 decimal places.)Assuming situation (a), prepare the employer’sSeptember 30 journal entries to record salary expense and itsrelated payroll liabilities for this employee. The employee’sfederal income taxes withheld by the employer are $80 for this payperiod.Assuming situation (a), prepare the employer’sSeptember 30 journal entries to record the employer’spayroll taxes expense and its related liabilities.

	Gross Pay through August 31			Gross Pay for September
a.		$	5,900		$	1,400
b.			2,700			2,800
c.			123,500			9,400