McLoyd Company completed the salaries and wages payroll for March. The payroll provided the following details:

Required:

1. Considering both employee and employer payroll taxes, use the preceding information to calculate the total labor cost for the company for March.

2. Prepare the journal entry to record the payroll for March, including employee deductions (but excluding employer payroll taxes). Employees were paid in March but amounts withheld were not yet remitted.

3. Prepare the journal entry to record the employer’s FICA taxes and unemployment taxes.

Transcribed Image Text:

Salaries and wages earned Employee income taxes withheld $400,000 37,000 FICA taxes withheld 28,600 Unemployment taxes 2,780