During the month of March, Blossom Companys employees earned wages of $72,000. Withholdings related to these wages were $5,508 for FICA, $8,640 for federal income tax, $3,600 for state income tax, and $432 for union dues. The company incurred no cost related to these earnings for federal unemployment tax but incurred $720 for state unemployment tax.

Exercise 10-06 During the month of March, Blossom Company's employees earned wages of $72,000. Withholdings related to these wages were $5,508 for FICA, $8,640 for federal income tax, $3,600 for state income tax, and $432 for union dues. The company incurred no cost related to these earnings for federal unemployment tax but incurred $720 for state unemployment tax. Prepare the necessary March 31 journal entry to record salaries and wages expense and salaries and wages payable. Assume that wages earned during March will be paid during April. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Mar. 31 Prepare the entry to record the company's payroll tax expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Mar. 31