Accounting - Ch. 13 Test

In each pay period, the payroll information for each employee is recorded on their employee earnings record.

• True

• False

In the journal entry for a payroll, the amount debited to Salary Expense is the total of the Net Pay column of the payroll register.

• True

• False

The tax base for Medicare tax is the same as the tax base for Social Security tax.

• True

• False

The payroll register provides all the payroll information needed to prepare a payroll.

• True

• False

A business deposits the total of gross wages in a separate payroll checking account.

• True

• False

Employer payroll taxes are business expenses.

• True

• False

The employer Social Security tax rate is different than the employee Social Security tax rate.

• True

• False

Federal unemployment insurance laws require that employers and employees pay taxes for unemployment compensation.

• True

• False

The transaction to record employer payroll taxes expense is journalized at the end of the quarter.

• True

• False

Each employer is required by law to periodically report the payroll taxes withheld from employee salaries.

• True

• False