For multiple choice questions 1 through 3, use the following tax rates: 1.5% 6.0% Social Security tax Medicare tax Federal unemployment compensation tax .8% State unemployment compensation tax 5.4% Also assume for multiple choice questions 1 through 3: Employee Jon Doe's gross weekly earnings = $10,000. Federal income tax withheld = $1,000 Employer is Conrad Company. Jon Doe is the only employee. CIRCLE THE CORRECT ANSWER. (8 points) 1. What is Jon Doe's net pay? a. $10,000 b. $8,630 C. $8,250 d. $7,630 2. What is the total amount of the employer payroll taxes? a. $620 b. $750 C. $1,370 d. $2,370 3. What is the total cost to Conrad Company of employing Jon Doe this week? a. $12,370 b. $11,370 c. $11,000 d. $10,000 4. Employee Mary Ryan earns $20 per hour. Mary Ryan worked 43 hours this week. What is the minimum amount she must be paid this week? In order to comply with the law? a. $1,290 b. $920 C. $890 d. $860 SPECIAL PAYROLL PROBLEM REQUIRING CALCULATIONS AND JOURNAL ENTRIES (12 points) Gross wages at the Timberwolf Company are $100,000 The Social Security tax rate is 60%. The Medicare tax rate is 1.5% Amount withheld from employee paychecks for the United Way, a charitable organization, is $2,000. Amount withheld from employee paychecks for retirement savings is $4,000 Required: Make the journal entry (debit and credit) for recording the payroll. That's all