CHAPTER 9 HOMEWORK At the end of October 2011, the payroll register for Hammer Company contained the following totals: wages, $185,500; federal income taxes withheld, $47,442; state income taxes withheld, $7,818; social security tax withheld, $11,501; Medicare tax withheld, $2,690; medical insurance deductions, $6,400; and wages subject to unemployment taxes, $114,480. REQUIRED Prepare journal entries to record the (1) monthly payroll and (2) employer payroll expenses, assuming social security and Medicare taxes equal to the amount for employees, a federal unemployment insurance tax of 0.8 percent, a state unemployment tax of 5.4 percent, and medical insurance premiums for which the employer pays 80 percent of the cost 1. 2. If Hammer is planning to hire a new employee for a salary of $2,000 per month, approximately how should the company budget per month for the total cost of this new employee