The two employees of Silver Company receive various fringe benefits. Silver Company provides vacation at the rate of $395 per day. Each employee earns one day of vacation per month worked. In addition, Silver Company pays a total amount of $810 per month in medical insurance premiums. Silver also contributes a total amount of $560 per month into an employee retirement plan. The federal unemployment tax rate is 6 percent, while the state tax rate is 4 percent. Unemployment taxes apply to the first $7,000 of earnings per employee. Assume a Social Security tax rate of 6 percent and a Medicare tax rate of 1.5 percent. Required a. Prepare the monthly journal entry for the accrued fringe benefits. b. Show the effect of the preceding transaction on a horizontal statements model. c. If the two employees each worked 250 days, what is Silver Company's total payroll cost (salary, payroll taxes, and fringe benefits) for the year? (Assume that each employee earns $395.00 per day.) Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Required C Prepare the monthly journal entry for the accrued fringe benefits. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Event General Journal Debit Credit A 1 395 810 OX 560 Vacation pay expense Employee medical insurance payable Employee pension expense Employee medical insurance payable Employee pension payable Vacation pay expense XOX 395 X 810 X 560 X Required A Required B Required C Show the effect of the preceding transaction on a horizontal statements model. (In the Cash Flow column, use the initials (OA) to designate operating activity, (IA) for investing activity, (FA) for financing activity and leave blank for no affect. Enter any decreases to account balances with a minus sign.) SILVER COMPANY Horizontal Statements Model Income Statement Assets + Balance Sheet Liabilities Stockholders' Equity Various Common Retained Payables Stock Earnings Statement of Cash Flows Cash + Revenue Expenses Net Income + Required A Required B Required C If the two employees each worked 250 days, what is Silver Company's total payroll cost (salary, payroll taxes, and fringe benefits) for the year? (Assume that each employee earns $395.00 per day.) (Round your answer to 2 decimal places.) Total payroll cost