Question

Flip earns a salary of$7,500 per month during the year. FICA taxes are 8% on the first$100,000 of gross earnings. Federal unemployment insurance taxesare 6.2% of the first $7,000; however, a credit is allowed equal tothe state unemployment insurance taxes of 5.4% on the $7,000.During the year, $25,600 was withheld for federal income taxes and$5,700 was withheld for state income taxes.

Instructions

(a)  Prepare a journal entry summarizingthe payment of Flip?s total salary during the year.

(b)  Prepare a journal entry summarizingthe employer payroll tax expense on Flip?s salary for theyear.

(c)  Determine the cost of employing Flipfor the year.

**PLEASE SHOW ALL WORK****WILL ONLY GIVE CREDIT IF ALL 3 ARE ANSWERED**