P3-4 Computing and journalizing employer's payroll taxes The following form is used by MoJo Manufacturing Company to compute payroll taxes incurred during the month of April: Unemployment Taxes Classification of Wages and Salaries Direct labor ... Indirect labor ...... Payroll taxes on factory wages Administrative salaries Sales salaries .. Total payroll taxes Earnings FICA Federal State Total Payroll for Tax Tax Tax Taxes Imposed Month 8% 1% 4% on Employer $ 88,180 16,220 ? 12,000 11,500 ? Required: 1. Using the above form, calculate the employer's payroll taxes for April. Assume that none of the employees has achieved the maximums for FICA and unemployment taxes. 2. Assuming that the employer payroll taxes on factory wages are treated as factory overhead, the taxes covering adminis- trative salaries are an administrative expense, and the taxes covering sales salaries are a selling expense, prepare a gen- eral journal entry to record the employer's liability for the April payroll taxes