Compute and record workers' compensation insurance premiums for Fairlawn Manufacturing as follows:

.	The firm estimates that its office employees will earn $55,000 next year and its factory employees will earn $180,000. The firm pays the following rates for workers compensation insurance: $0.40 per $100 of wages for the office employees and $3.80 per $100 of wages for the factory employees.

1. Compute the estimated premiums for 2016. 2.

Record the payment of the estimated premium. Date the entry January 12, 2016.

Record payment of estimated workers compensation for the year in general journal from