1. Establish an employee earnings record for each of the company's four employees. Complete the top portion of each record. 2. Establish and complete the payroll register for each weekly pay period during December. When calculating federal income tax withholding, use the withholding tables where possible, and refer to the percentage method only when necessary. Note that as of December 8, Hunter Cranston requests that his federal withholding allowances increase from two to three (Ellipses Corp. makes this change). Additionally, for simplicity, calculate the state income tax withholding as 5% of each employee's taxable pay (which is the same as taxable pay for FWT). Recall that state income tax withholding would ordinarily be calculated using the applicable state's withholding tables. Payroll checks are remitted to the employees in the same order (Cranston, Harrison, Parker, Sternberg) each pay period and are written from a bank account that is used solely for these payments. The first payroll check written in December is check #762. Note that all charitable contributions are deemed to be made on the final day of each pay period. The following information will be required for the completion of these records for the two employees who are compensated via an hourly wage. L us One-Month Project 227 en 21 months of the year have passed, and all payroll-related activity has been properly accounted for as 2018 Pinase note that no paychecks were distributed on 1/1/2018 (as these checks were written and mbed on 12/31/2017 instead), resulting in the distribution of checks on 13 pay dates during the first mall data for each of the four employees for the first three quarters of the year, as well as for the the of October and November, is as follows. Hunter Cranston Period Gross Earnings $7.800 Federal State Social Income Tax Income Tax Security Tax Medicare 401(k) Tax Deduction Charitable Cont $234 $366.60 548360 $113.10 $468 $65 er $7.800 $234 $366.60 $483.60 $113.10 5468 $65 ater $7.800 $234 $366.60 $483.60 $113.10 $468 565 $2.400 572 $112.80 $148.80 $34.80 $144 $20 verder $3,000 590 $141 $186 $43.50 $180 $25 Allison Harrison Gross Period Earnings Federal tricome Tax State Social Medicare 401(k) Charitable Income Tax Security Tax Tax Deduction Cont. parter $11,960 $429 $568.10 $741.52 $173.42 $598 $65 der $11,960 $429 $568.10 $741.52 $173.42 $598 565 tlarid 30er $11.960 $429 $568.10 $741.52 $173.42 5598 565 Genober $3,680 $132 $174.80 $228.16 $53.36 $184 $20 erber $4,600 $165 $218.50 $285.20 $66.70 $230 $25 John Parker Gross Federal State Social Medicare 401(k) Charitable Period Earnings Income Tax Income Tax Security Tax Tax Deduction Cont. arter $50,750.05 $11,035.18 $2,537.47 53,146.52 $735.93 50 $260 Quarter $50,750.05 $11,035.18 $2,537.47 $3,146.52 $735.93 50 $260 $50,750.05 $11,035.18 $2,537 47 $1,667.76 $735.93 $0 $260 October $226.44 50 580 $15,615.40 $3,395.44 $780.76 50 ember $19,519.25 $4,244.30 $975.95 $283.05 $0 $100 50 Ellipses Corp. is a small business that operates in Herndon, VA. The company is located at 10 Period Lane, Herndon, VA 20170. Its federal Employer Identication Number is 71-7777777, and its president, who signs all tax forms, is John Parker (telephone #571-555-0073). The company does not wish to name a third party designee on forms. Dusing 2018 four individuals are employed by Ellipses Corp. These employees are as follows. Name Address Social Security # Federal W/H Allowances State W/H Allowances Marital Status Hunter Cranston 85 Southern Road 111-11-1111 2 Married Herndon, VA 20170 Allison Harrison 203A Pine Court Herndon, VA 20170 777-77-7777 4 Married John Parker 212 Tradition Lane Herndon, VA 20170 444-44-4444 1 1 Single Pierre Sternberg 41 Seward Boulevard Herndon, VA 20170 333-33-3333 2 2 Married Note that Pierre Sternberg was hired in November, and his first day of work was Monday, November 26. Additionally, due to an economic downturn, Allison Harrison was laid off in mid-December, with her last day of work on Friday, December 14. All employees of Ellipses Corp. work a regular 40-hour workweek (thus all hours worked over 40 in a given week are overtime hours), receive overtime pay at a rate of 1.5 times the regular wage rate, and are paid weekly on Friday for the current week (which runs from Saturday through Friday, although employees never work on weekends). The SUTA tax rate applicable to Ellipses Corp. is 3.1%, while the SUTA wage base in Virginia is $8,000. Earnings and voluntary deduction information for each of the four employees is as follows. Name Regular Wage Rate Annual Salary Weekly 401(k) Deduction Weekly Charitable Contribution Hunter Cranston $15/hour N/A 6% of gross pay $5 Allison Harrison $23/hour N/A 5% of gross pay $5 John Parker N/A $203,000.20 N/A $20 Pierre Sternberg N/A $112,000.20 1% of gross pay N/A Pierre Sternberg mprehensive Projects-Paper-Based versions Period Gross Earnings Federal State Social Medicare Income Tax Income Tax Security Tax Tax 401(k) Deduction Cont Charitable 1st quarter $0 $0 50 SO 2nd quarter $0 SO $0 50 88 50 50 50 50 S0 3rd quarter SO $0 $0 50 50 October $0 $0 $0 50 $0 88 50 50 November $2,153.85 $228.94 $106.62 $133.54 $31.23 $21.54 50