Total payroll of Royal Cruizze Co. was $2,760.000, of which $480,000 represented amounts paid in excess of $118,500 to certain employees. The amount paid to employees in excess of $7,000 was $2,160,000. Income taxes withheld were $675,000. The state unemployment tax is 1.2%, the federal unemployment tax is .8%, and the F.I.C.A. tax is 7.65% on an employee's salaries and wages to $118.500 and 1.45% in excess of $118.500. STATE & FEDERAL Unemployment Tax is charged only on the first $7,000 Per Employee.

1. List the entry the journal entry for the salaries and wages paid
2. List the entry to record the employer payroll taxes