Required:

Use an earnings ceiling of $$132,900$ for social security taxes and a tax rate of $6\mathrm{.}2$ percent and a tax rate of $1\mathrm{.}45$ percent on all earnings for Medicare taxes. Prepare a schedule showing the following information:

a$.$ Each employee's cumulative earnings prior to October $31.$

b$.$ Each employee's gross earnings for October.

c$.$ The amounts to be withheld for each payroll tax from each employee's earnings; the employee's income tax withholdings are Parker, $$5,600$; Catz, $$4,200$; Wu$,$ $$1,320.$

d$.$ The net amount due each employee.

e$.$ The total gross earnings, the total of each payroll tax deduction, and the total net amount payable to employees.

Prepare the general journal entry to record the company's payroll on October $31.$

Prepare the general journal entry to record payments to employees on October $31.$

Complete this question by entering your answers in the tabs below.

Req $2$ and $3$

Use an earnings ceiling of $$132,900$ for social security taxes and a tax rate of $6\mathrm{.}2$ percent and a tax rate of $1\mathrm{.}45$ percent on all earnings for Medicare taxes. Prepare a schedule showing the following information $($Round your answers to $2$ decimal places.$)$:

Cumulative

Monthly pay

Social

Employee

earnings

security

Medicare

income tax

Net pay