Q5) Johnson Co. employs a staff of 35 at a total monthly gross pay of $95,000. The company withholds federal income tax at 15% for all employees. In addition, the following tax rates apply: FICA tax, 7.65% federal unemployment tax, 0.8% state unemployment tax, 2.7%.

Required:

a. Prepare the journal entry to record salaries and employee withholding items for the month of January. (Round numbers up to the next whole dollar.)

b. Prepare the journal entry to record employer payroll taxes for the month of January.