Peter Torres works for Hank Company all year and earns a monthly salary of $$4,500.$ There is no overtime pay. Based on Torres's W$-4,$ Hank Company withholds income

taxes at $20\%$ of his gross pay. As of July $31,$ Torres had $$31,500$ of cumulative earnings.

View the payroll tax information.

Journalize the accrual of salary expense for Hank Company related to the employment of Peter Torres for the month of August. $($Record debits first, then credits. Round all

amounts to the nearest cent. Select the explanation on the last line of the journal entry table.$)$

Payroll Tax Information

For all payroll calculations, use the following tax rates and round amounts to the

nearest cent:

Employee: OASDI: $6\mathrm{.}2\%$ on first $$147,000$ earned; Medicare: $1\mathrm{.}45\%$ up

to $$200,000,2\mathrm{.}35\%$ on earnings above $$200,000.$

Employer: OASDI: $6\mathrm{.}2\%$ on first $$147,000$ earned; Medicare: $1\mathrm{.}45\%$; FUTA:

$0\mathrm{.}6\%$ on first $$7,000$ earned; SUTA: $5\mathrm{.}4\%$ on first $$7,000$ earned.