The following data for Throwback Industries Inc. relate to the payroll for the week ended December 9.

Employees Mantle and Williams are office staff, and all of the other employees are sales personnel. All sales personnel are paid 1½ times the regular rate for all hours in excess of 40 hours per week. The social security tax rate is 6.0%, and Medicare tax is 1.5% of each employee’s annual earnings. The next payroll check to be used is No. 901.

Instructions

1. Prepare a payroll summary for Throwback Industries Inc. for the week ended December 9. Use the following columns: Employee, Total Hours, Regular Earnings, Overtime Earnings, Total Earnings, Social Security Tax, Medicare Tax, Federal Income Tax, U.S. Savings Bonds, Total Deductions, Net Pay, Ck. No., Sales Salaries Expense, and Office Salaries Expense.

2. Journalize the entry to record the payroll for the week.

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Hours Worked Hourly Rate Weekly Salary Federal Income Tax U.S. Savings Bonds Employee Aaron 46 $68.00 $750.20 $100 Cobb 41 62.00 537.68 110 Clemente 48 70.00 832.64 120 DIMaggio Griffey, Jr. Mantle 35 56.00 366.04 45 62.00 641.84 130 $1,800 342.45 120 Robinson 36 54.00 382.56 130 Williams 2,000 398.24 125 Vaughn 42 62.00 584.72 50