| A | B |
|---|
| Amounts deducted from employees' earnings and held for payment by the employer become liabilities to the business. | True |
| The payroll register is the source of information for preparing the journal entry for payroll. | true |
| The Cash in Bank account is debited for the amount the employees actually earn in the pay period. | false |
| In a few states, employees are also required to pay unemployment taxes. | true |
| The entry for Salaries Expense is recorded each pay period, but the entry for Payroll Tax Expense is recorded only at the end of the year. | false |
| When a business transfers money from its regular checking account to the payroll checking account, the check is written for the total net pay amount. | true |
| The social security tax is paid by both employer and employees. | true |
| An employer normally pays federal withholding taxes, social security taxes, and medicare taxes once a year. | false |
| The only taxes that the employer must pay are unemployment taxes. | false |
| The amount entered for Payroll Tax Expense is the total gross earnings of the pay period. | false |
