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BMX Company has one employee. FICA Social Security taxes are 6.2% of the first $137,700 paid to its employee, and FICA Medicare taxes are 1.45% of gross pay. For BMX, its FUTA taxes are 0.6% and SUTA taxes are 5.4% of the first $7,000 paid to its employee.

Compute BMXs amounts for each of these four taxes as applied to the employees gross earnings for September under each of three separate situations (a), (b), and (c). (Round your answers to 2 decimal places.)

Assuming situation (a), prepare the employers September 30 journal entry to record salary expense and its related payroll liabilities for this employee. The employees federal income taxes withheld by the employer are $90 for this pay period.

Assuming situation (a), prepare the employers September 30 journal entry to record the employers payroll taxes expense and its related liabilities.

a. b. C. Gross Pay through August 31 $ 6,100 2,100 133,000 Gross Pay for September $ 1,400 2,200 9,600 a) Tax September Earnings Subject to Tax $ 1,400.00 1,400.00 FICASocial Security FICA-Medicare FUTA SUTA b) Tax Rate Tax Amount 6.20% $ 86.80 1.45% 20.30 0.60% 5.40% Tax Tax Rate Tax Amount September Earnings Subject to Tax $ 2,200.00 6.20% $ 136.40 FICASocial Security FICA-Medicare FUTA 1.45% 31.90 2,200.00 2,200.00 2,200.00 13.20 0.60% 5.40% SUTA 118.80 c) Tax September Earnings Subject to Tax Tax Rate Tax Amount 9,600.00 1.45% 139.20 FICASocial Security FICA-Medicare FUTA SUTA 0 0 Taxes to be Withheld From Gross Pay (Employee-Paid Taxes) September Earnings Subject to Tax Tax Rate Tax Amount Federal income tax $ 90.00

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