On December 31, Alvarez Company estimates that it will pay its employees a 7% bonus on net income after deducting the bonus. The company reports year. Read the requirements. (Record debits first, then credits. Round all amounts to the nearest cent, Select the explanation on the last tiro of the journal ent Requirement 1. Journalize the December 31 transaction for Alvarez Date Accounts and Explanation Debit Credit Dec. 31 after deducting the bonus. The company reports net income of $52.000 before the calculation of the bonus. The bonus will be paid on January 15 of the next it the explanation on the last line of the journal entry table.)