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On January 14, at the end of the second week of the year, the totals of Castle Company's payroll register showed that its store employees'

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On January 14, at the end of the second week of the year, the totals of Castle Company's payroll register showed that its store employees' wages amounted to $33,482 and that its warehouse wages amounted to $13,560. Withholdings consisted of federal income taxes, $5,110, employer's Social Security taxes at the rate of 6.2 percent, and employees' Social Security taxes at a rate of 6.2 percent. Both the employer's and employees' Social Security taxes are based on the first $118,500, and no employee has reached the limit. Additional withholdings were Medicare taxes at the rate of 1.45 percent on all earnings and charitable contributions withheld, $845 Required: a. Calculate the amount of Social Security and Medicare taxes to be withheld and prepare the general Journal entry to record the payroll. If an amount box does not require an entry, leave it blank. If required, round your intermediate calculations and final answers to the nearest cent and use the rounded answers in subsequent computations GENERAL JOURNAL PAGE DATE DESCRIPTION DOC. NO. POST. REF. DEBIT CREDIT 20- Jan. 14 Store Employees' Wages Expense v Warehouse Wages Expense Employees' Federal Income Tax Payable FICA Social Security Tax Payable v FICA Medicare Tax Payable Employees' Charitable contributions Payable v Wages Payable To record payroll for the week ended January 14 Feedback b. Prepare the general journal entry to record the employer's payroll taxes, assuming that the federal unemployment tax is 0.6 percent of the first $7,000, that the state unemployment tax is 5.4 percent of the same base, and that no employee has surpassed the $7,000 limit. If an amount box does not require an entry, leave it blank. If required, round your intermediate calculations and final answers to the nearest cent and use the rounded answers in subsequent computations GENERAL JOURNAL PAGE DOC. DATE DESCRIPTION POST REF. DEBIT CREDIT NO, 20 Jan 14 Payroll Tax Expense v FICA Social Security Tax Payable FICA Medicare Tax Payable State Unemployment Tax Payable Federal Unemployment Tax Payable v To record employer's share of FICA taxes and employer's state and federal unemployment taxes

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