Prepare the journal entries for the above transactions and post them to the appropriate T-accounts. c. Prepare the income statement, balance sheet, and statement of cash flows for 2016. d. What is the total amount of current liabilities at December 31, 2016? Zolnick Enterprises has two hourly employees, Kelly and Jon. Both employees earn overtime at the rate of 1 1/2 times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $110,000 of wages and the Medicare tax rate is 1.5 percent on all earnings. Federal income tax withheld for Kelly and Jon was $260 and $220, respectively, for the first week of January. The following information is for the first week in January 2016: Prepare the journal entries for the above transactions and post them to the appropriate T-accounts. c. Prepare the income statement, balance sheet, and statement of cash flows for 2016. d. What is the total amount of current liabilities at December 31, 2016? Zolnick Enterprises has two hourly employees, Kelly and Jon. Both employees earn overtime at the rate of 1 1/2 times the hourly rate for hours worked in excess of 40 per week. Assume the Social Security tax rate is 6 percent on the first $110,000 of wages and the Medicare tax rate is 1.5 percent on all earnings. Federal income tax withheld for Kelly and Jon was $260 and $220, respectively, for the first week of January. The following information is for the first week in January 2016