How do we journalize this entry:

Applied $7,248.00 of direct materials (1679) and $16,240.00 of direct labor(time ticket No.258) to Job No. 1403, which will complete the job. Use the simplified rates of 7.5% of gross pay for employees' FICA tax and 15% of gross pay for employees' federal income tax. When preparing the entry for applying direct labor, debit Work in Process for the gross pay, and credit Emplyoees' Income Tax Payable and FICA Tax Payable for the appropriate amounts and Salaries Payable for net pay.

Remember that employees are paid on the last day of each month. Applied factory overhead to Job. 1403 is based upon 125% of direct labor cost. This entry is from the Hydro Paddle Boards, Inc.