Holden Tess manages a Cammy's restaurant. His straight$-$time pay is $$28$ per hour, with time$-$and$-$a$-$half for hours in excess of $40$ per week. Tess' payroll deductions include withheld income tax of $20\%,$ FICA tax, and a weekly deduction of $$15$ for a charitable contribution to a charity fund. Tess worked $60$ hours during the week.

View the payroll tax rate information.

Read the requirements.

Requirement $1.$ Compute Tess' gross pay and net pay for the week. Assume earnings to date are $$18,000.($Round all amounts to the nearest cent.$)$

Begin by computing Tess's gross pay for the week.

$\backslash$table$[[$Straight$-$time pay for $40$ hours,$1120],[$Overtime pay for $20$ hours,$270],[$Gross Pay,$1390]]$

Requirements

Compute Tess' gross pay and net pay for the week. Assume earnings to date are $$18,000.$

Journalize Cammy's wages expense accrual for Tess' work. An explanation is not required.

Journalize the subsequent payment of wages to Tess.

Payroll Tax Information

For all payroll calculations, use the following tax rates and round amounts to the nearest cent:

Employee: OASDI: $6\mathrm{.}2\%$ on first $$147,000$ earned; Medicare: $1\mathrm{.}45\%$ up to $$200,000,2\mathrm{.}35\%$ on earnings above $$200,000.$

Employer: OASDI: $6\mathrm{.}2\%$ on first $$147,000$ earned; Medicare: $1\mathrm{.}45\%$; FUTA: $0\mathrm{.}6\%$ on first $$7,000$ earned; SUTA: $5\mathrm{.}4\%$ on first $$7,000$ earned.