PB10-3 (Algo) Recording and Reporting Current Liabilities (LO 10-2) Sandler Company completed the following two transactions. The annual accounting period ends December 31. a. On December 31, calculated the payroll, which indicates gross earnings for wages ($280,000), payroll deductions for income tax ($30,000), payroll deductions for FICA ($22,000), payroll deductions for United Way ($4,200), employer contributions for FICA (matching), and state and federal unemployment taxes ($2,200). Employees were paid in cash, but payments for the corresponding payroll deductions have not been made and employer taxes have not yet been recorded. b. Collected rent revenue of $1,560 on December 10 for office space that Sandler rented to another business. The rent collected was for 30 days from December 11 to January 10 and was credited in full to Deferred Revenue. Required: 1. & 2. Prepare the entries required on December 31 to record payroll, the collection of rent on December 10 and adjusting journal entry on December 31. 3. Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. View transaction list X: X 1 Record the wages expense, including payroll deductions. 2 Record the payroll tax expense. 3 Record the collection of 30 days' rent in advance amounting to $1,560. 4 Record the adjusting entry relating to rent. Credit 30,00 22,000 4 200 Reg 1 and 2 Reg 3 Show how any liabilities related to these items should be reported on the company's balance sheet at December 31. (Do not round intermediate calculations.) SANDLER COMPANY Balance Sheet (partial)