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3. (5 points) Total payroll of Walnut Co. was $1,900,000, of which $330,000 represented amounts paid in excess of $118,500 to certain employees. The amount

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3. (5 points) Total payroll of Walnut Co. was $1,900,000, of which $330,000 represented amounts paid in excess of $118,500 to certain employees. The amount paid to employees in excess of $7,000 was $1,480,000. Income taxes withheld were $461,000. The state unemployment tax is 1.2%, the federal unemployment tax is .8%, and the F.I.C.A. tax is 7.65% on an employee's salaries and wages to $118,500 and 1.45% in excess of $118,500. a. Prepare the journal entry for the salaries and wages paid. Date Accounts DR CR 12/31 b. Prepare the entry to record the employer payroll taxes. Date Accounts DR CR 12/31

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