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CALCULATION?

On December 31, Spirit Company estimates that it will pay its employees a 2% bonus on net income after deducting the bonus. The company reports net income of $42,000 before the calculation of the bonus. The bonus will be paid on January 15 of the next year. Read the requirements. (Record debits first, then credits. Round all amounts to the nearest cent. Select the explanation on the last line of the journal entry table.) Requirement 1. Journalize the December 31 transaction for Spirit. Date Accounts and Explanation Debit Credit Dec. 31 823.53 Employee Bonus Expense Employee Bonus Payable 823.53 To record employee bonus expense. Requirement 2. Journalize the payment of the bonus on January 15. Date Debit Credit Jan. 15 Accounts and Explanation Employee Bonus Payable Cash 823.53 823.53 To record payment of employee bonus