Lily Company has the following data for the weekly payroll ending January $31.$

Employees are paid $1\mathrm{.}50$ times the regular hourly rate for all hours worked in excess of $40$ hours per week. FICA taxes are $7\mathrm{.}65\%$ the first $$132,900$ of gross earnings. Lily Company is subject to $5\mathrm{.}40\%$ state unemployment taxes and $0\mathrm{.}60\%$ federal unemployme taxes on the first $$7,000$ of gross earnings.

Prepare the journal entries to record the payroll and Lily's payroll tax expense. $($Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to $2$ decimal places, e$.$g$.15\mathrm{.}25.)$

Date Account Titles and Explanation

Debit

Credit

Jan. $31$

$($To record payroll$)$

Jan. $31$