Diego's Mexican Restaurant incurred salaries expense of

$58,000 for 2018. The payroll expense includes employer FICA tax, in addition to state unemployment tax and federal unemployment tax. Of the total salaries, $23,000 is subject to unemployment tax.

Also, the company provides the following benefits for employees: health insurance (cost to the company,

$2,100), life insurance (cost to the company, $310), and retirement benefits (cost to the company, 6% of salaries expense).

Requirements:

1. Journalize Diego's expenses for employee benefits and for payroll taxes. Explanations are not required.

2. What was Diego's total expense for 2018 related to payroll?

Requirement 1. Journalize Diego's expenses for employee benefits and for payroll taxes. Explanations are not required. Begin with the entry to accrue Diego's employer payroll taxes. (Round all amounts to the nearest cent. Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit