Alamar Petroleum Company offers its employees the option of contributing retirement funds up to 5% of their salaries, with the contribution being matched by Alamar. The company also pays 75% of medical and life insurance premiums. Deductions relating to these plans and other payroll information for the first biweekly payroll period of February are listed as follows: Wages and salaries Employee contribution to voluntary retirement plan Medical insurance premiums Life insurance premiums Federal income taxes to be withheld Local income taxes to be withheld Payroll taxes: Federal unemployment tax rate State unemployment tax rate (after SUTA deduction) Social Security tax rate Medicare tax rate $3,200,000 96,000 54,000 10,200 520,000 65,000 0.60% 5.40% 6.20% 1.45% Required: Prepare the appropriate journal entries to record salaries expense and payroll tax expense for the biweekly pay period. Assume that all employees' cumulative wages do not exceed the relevant wage bases for Social Security, FUTA or SUTA. Salaries are not yet paid. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Record salaries and wages expense. Note: Enter debits before credits. Event General Journal Credit Debit 3,200,000 Salaries and wages expense 520,000 | 65,000 Withholding taxes payable (federal income tax) Withholding taxes payable (local income tax) Social security taxes payable Medicare taxes payable Medical insurance payable Life insurance payable Retirement plan payable Salaries and wages payable 198,400 46,400 13,500 2,550 96,000 | 2,258,150 Journal entry worksheet Record payroll tax expense. Note: Enter debits before credits. Event Debit Credit General Journal Payroll tax expense Social security taxes payable Medicare taxes payable FUTA payable State unemployment tax payable 198,400 46,400 19,200 1,728,800 Journal entry worksheet