The following payroll liability accounts are included in the ledger of Harmon Company on January 1, 2017.

FICA Taxes Payable		$745
Federal Income Taxes Payable		1,180
State Income Taxes Payable		120
Federal Unemployment Taxes Payable		290
State Unemployment Taxes Payable		1,950
Union Dues Payable		880
U.S. Savings Bonds Payable		300

In January, the following transactions occurred.

Jan.	10		Sent check for $880 to union treasurer for union dues.
	12		Remitted check for $1,925.00 to the Federal Reserve bank for FICA taxes and federal income taxes withheld.
	15		Purchased U.S. Savings Bonds for employees by writing check for $300.
	17		Paid state income taxes withheld from employees.
	20		Paid federal and state unemployment taxes.
	31		Completed monthly payroll register, which shows salaries and wages $54,000, FICA taxes withheld $4,131, federal income taxes payable $1,890, state income taxes payable $490, union dues payable $390, United Fund contributions payable $1,945, and net pay $45,154.
	31		Prepared payroll checks for the net pay and distributed checks to employees.

At January 31, the company also makes the following accrued adjustments pertaining to employee compensation.

1.		Employer payroll taxes: FICA taxes 7.65%, federal unemployment taxes 0.8%, and state unemployment taxes 5.4%.
2.		Vacation pay: 6% of gross earnings.

Date	Accounts Title	Debit	Credit
10-Jan	Union Dues Payable	$880
	Cash		$880
12-Jan	FICA Taxes payable	$745
	Federal Income Taxes Payable	$1,180
	Cash		$1,925
15-Jan	US Saving Bonds Payable	$300
	Cash		$300
17-Jan	State Income taxes payable	$120
	Cash		$120
20-Jan	Federal Unemployment Taxes payable	$290
	State Unemployment Taxes payable	$1,950
	Cash		$2,240
31-Jan	Salaries & Wages expenses	$54,000
	FICA Taxes payable		$4,131
	Federal Income Taxes Payable		$1,890
	State Income taxes Payable		$490
	Union Dues payable		$390
	United Fund Contribution payable		$1,945
	Salaries & Wages payable		$45,154
31-Jan	Salaries & Wages payable	$45,154
	Cash		$45,154
	State Unemployment Taxes payable (54000*5.4%)		$2,916

(b) Journalize the adjustments pertaining to employee compensation at January 31. (Round answers to 2 decimal places, e.g. 15.50. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) No. Date Account Titles and Explanation Debit Credit 1. (To record employee payroll taxes.) 2. (To record vacation pay.)