The payroll register of Longboat Co. indicates $5,400 of social security withheld and $1,350 of Medicare tax withheld on total salaries of $90,000 for the period. Retirement savings withheld from employee paychecks were $5,400 for the period. Federal withholding for the period totaled $17,820. On December 31, provide the journal entry for the period’s payroll. Refer to the Chart of Accounts for exact wording of account titles.

Dr salaries expense $90,000

Cr social security tax payable $5400

Cr Medicare tax payable $1350

Cr employees federal income tax payable $17,820

Cr retirement savings deductions payable $5400

Cr salaries payable $60,030

Explanation:

Preparation of the journal entry for the period's payroll.

Dr salaries expense $90,000

Cr social security tax payable $5400

Cr Medicare tax payable $1350

Cr employees federal income tax payable $17,820

Cr retirement savings deductions payable $5400

Cr salaries payable $60,030

(90,000-5400-1350-17820-5400)

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