Larry Whitney is general manager of Moonwalk Salons. During 2018, Whitney worked for the company all year at a $9,600 monthly salary. He also earned a year-end bonus equal to 5% of his annual salary. Whitney's federal income tax withheld during 2018 was $672 per month, plus $1,152 on his bonus check. State income tax withheld came to $170 per month, plus $50 on the bonus. FICA tax was withheld on the annual earnings. Whitney authorized the following payroll deductions: Charity Fund contribution of 3% of total earnings and life insurance of $30 per month. Moonwalk incurred payroll tax expense on Whitney for FICA tax. The company also paid state unemployment tax and federal unemployment tax. Click the icon to view payroll tax rate information.) Read the requirements. Requirement 1. Compute Whitney's gross pay, payroll deductions, and net pay for the full year 2018. Round all amounts to the nearest dollar. Begin by computing Whitney's gross pay for the year. (Round all amounts to the nearest dollar.) Gross pay Gross Pay Now compute Whitney's payroll deductions and net pay for the year. (Round all amounts to the nearest dollar.) Net pay Withholding deductions: Larry Whitney is general manager of Moonwalk Salons. During 2018, Whitney worked for the company all year at a $9,600 monthly salary. He also earned a year-end bonus equal to 5% of his annual salary. Whitney's federal income tax withheld during 2018 was $672 per month, plus $1,152 on his bonus check. State income tax withheld came to $170 per month, plus $50 on the bonus. FICA tax was withheld on the annual earnings. Whitney authorized the following payroll deductions: Charity Fund contribution of 3% of total earnings and life insurance of $30 per month. Moonwalk incurred payroll tax expense on Whitney for FICA tax. The company also paid state unemployment tax and federal unemployment tax. Click the icon to view payroll tax rate information.) Read the requirements. Now compute Whitney's payroll deductions and net pay for the year. (Round all amounts to the nearest dollar.) Net pay: Withholding deductions: Net (take-home) pay Requirement 2. Compute Moonwalk's total 2018 payroll tax expense for Whitney. (Round all amounts to the nearest dollar.) Employer Payroll Taxes: Larry Whitney is general manager of Moonwalk Salons. During 2018, Whitney worked for the company all year at a $9,600 monthly salary. He also earned a year-end bonus equal to 5% of his annual salary. Whitney's federal income tax withheld during 2018 was $672 per month, plus $1,152 on his bonus check. State income tax withheld came to $170 per month, plus $50 on the bonus. FICA tax was withheld on the annual earnings. Whitney authorized the following payroll deductions: Charity Fund contribution of 3% of total earnings and life insurance of $30 per month. Moonwalk incurred payroll tax expense on Whitney for FICA tax. The company also paid state unemployment tax and federal unemployment tax. Click the icon to view payroll tax rate information.) Read the requirements. Requirement 2. Compute Moonwalk's total 2018 payroll tax expense for Whitney. (Round all amounts to the nearest dollar.) Employer Payroll Taxes: Total Employer Payroll Tax II Total Payroll Expense Larry Whitney is general manager of Moonwalk Salons. During 2018, Whitney worked for the company all year at a $9,600 monthly salary. He also earned a year-end bonus equal to 5% of his annual salary. Whitney's federal income tax withheld during 2018 was $672 per month, plus $1,152 on his bonus check. State income tax withheld came to $170 per month, plus $50 on the bonus. FICA tax was withheld on the annual earnings. Whitney authorized the following payroll deductions: Charity Fund contribution of 3% of total earnings and life insurance of $30 per month. Moonwalk incurred payroll tax expense on Whitney for FICA tax. The company also paid state unemployment tax and federal unemployment tax. Click the icon to view payroll tax rate information.) Read the requirements. Requirement 3. Make the journal entry to record Moonwalk's expense for Whitney's total earnings 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. (Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit Requirement 4. Make the journal entry to record the accrual of Moonwalk's payroll tax expense for Whitney's total earnings. (Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit Requirement 5. Make the journal entry for the payment of the payroll withholdings and taxes. (Record debits first, then credits. Exclude explanations from journal entries.) Requirement 5. Make the journal entry for the payment of the payroll withholdings and taxes. (Record debits first, then credits. Exclude explanations from journal entries.) Date Accounts Debit Credit - x More info For all payroll calculations, use the following tax rates and round amounts to the nearest cent: Employee: OASDI: 6.2% on first $118,500 earned; Medicare: 1.45% up to $200,000, 2.35% on earnings above $200,000. Employer: OASDI: 6.2% on first $118,500 earned; Medicare: 1.45% on all earnings; FUTA: 0.6% on first $7,000 earned; SUTA: 5.4% on first $7,000 earned. Print Done W Requirements 1. Compute Whitney's gross pay, payroll deductions, and net pay for the full year 2018. Round all amounts to the nearest dollar. 2. Compute Moonwalk's total 2018 payroll tax expense for Whitney. 3. Make the journal entry to record Moonwalk's expense for Whitney's total earnings 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. 4. Make the journal entry to record the accrual of Moonwalk's payroll tax expense for Whitney's total earnings. 5. Make the journal entry for the payment of the payroll withholdings and taxes. Print Done