Perez Company Has the Following Information for the Pay Period

Essay

Perez Company has the following information for the pay period of January 15-31. $$\begin{array} { l r l r } \text { Gross payroll } & \$ 20,000 & \text { Federal income tax withheld } & \$ 2,500 \\\text { Social security rate } & 6 \% & \text { Federal unemployment tax rate } & 0.8 \% \\\text { Medicare rate } & 1.5 \% & \text { State unemployment tax rate } & 5.4 \%\end{array}$$ ​
Assuming no employees are subject to ceilings for their earnings, calculate salaries payable and employer payroll tax expense.