Pounding Pavements a clothing resale store, employs one salesperson, Danielle Havana. Havana's straight-time wage is $24

per hour, with time-and-a-half pay for hours above 40. Pounding Pavements

withholds income tax (20%),

FICAOASDI (6.2%), and

FICAMedicare (1.45%) from Havana's pay. PoundingPavements also pays payroll taxes for FICAOASDI (6.2%), FICAMedicare (1.45%), and state and federal unemployment (5.4% and 0.6%, respectively). During the week ended December 26, Havana worked 46 hours. Prior to this week, she had earned $1,900.

Requirement 1. Compute

HavanaHavana's

gross pay and net (take-home) pay for the week.Begin with the computation of gross pay. (Round all amounts to the nearest whole dollar.)

Gross Pay:
Straight-time pay for 40 hours	$960
Overtime pay for 6 hours	216
Gross Pay	$1,176

Part 2Now calculate net (take-home) pay. (Round all amounts to the nearest whole dollar.)

Gross pay		$1,176
Withholding deductions:
Employee income tax	$235
Employee OASDI tax	73
Employee Medicare tax	17
Total withholdings		325
Net (take-home) pay		$851

Part 3Requirement 2. Record the payroll entries that

Pounding PavementsPoundingPavements

would make for each of the following: (Record debits first, then credits. Select the explanation on the last line of the journal entry table.)a. Accrual of salaries and wages expense and subsequent payment related to HavanaHavanaBegin by recording the expense. Assume the payment was made after the expense was recorded. We will record the payment of salaries and wages as a separate journal entry in the following step. (Round all amounts to the nearest whole dollar.)

Accounts and Explanation

Debit

Credit