At Terry’s Totally Tapas restaurant, the estimated gross payroll total for all employees this year is $675,000. The job classifications and their estimated payroll are as follows: office staff $75,000 and restaurant staff $600,000. The premium rate for office staff is 0.2%, and the premium rate for restaurant staff is 1.5%. Actual payroll is $671,000. The job classifications and their actual payroll are as follows: office staff $75,000 and restaurant staff $596,000. 

a. Prepare the journal entry for the payment of Terry’s Totally Tapas workers’ compensation premium.

b. Prepare the adjusting entry required at year-end. 

c. Determine if Terry’s will either receive a credit for overpaid premium or pay an additional premium.