Question
Larry Walsh is general manager of Stoneybrook Salons. During 2018, Walsh worked for the company all year at a $ 14 comma 200 monthly salary.
Larry Walsh is general manager of Stoneybrook Salons. During 2018, Walsh worked for the company all year at a $ 14 comma 200 monthly salary. He also earned a year-end bonus equal to 15% of his annual salary. Walsh's federal income tax withheld during 2018 was $ 1 comma 420 per month, plus $ 5 comma 112 on his bonus check. State income tax withheld came to $ 120 per month, plus $ 40 on the bonus. FICA tax was withheld on the annual earnings. Walsh authorized the following payroll deductions: Charity Fund contribution of 3% of total earnings and life insurance of $ 15 per month.
1. Computer Walsh's gross pay, payroll deduction, and net pay for the full year 2014. Round all to the nearest dollar.
2. Computer Stoneybrook total 2014 payroll expense for Walsh.
3. Make the journal entry to record Stoneybrook's expense for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate. Credit liability accounts for the payroll deductions and Cash for net pay. An explanation is not required.
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