Larry Walsh is general manager of Stoneybrook salons. During 2014, Walsh worked for the company all year at a $10,600 monthly salary. He also earned a year-end bonus equal to 20% fo his annual salary. Walsh's federal income tax withheld during 2014 was $2,120 per month, plus $2,544 on his bonus check. State income tax wihheld came to $100 per month, plus $40 on the bonus. FICA tax was withheld on the annual earnings. Walsh authorized the following payroll deductions: Charity Fund contribution of 4% of total earnings and life insurance of $5 per month. Stoneybrook incurred payroll tax expense on Walsh for FICA tax. The company also paid state unemployment tax and federal unemployment tax. In addition Stoneybrook provides Walsh with health insurance at a cost of $140 per month. During 2014, Stoneybrook paid $3,000 into Walsh's retirement plan.
Requirements:
1. Computer Walsh's gross pay, payroll deduction, and net pay for the full year 2014. Round all to the nearest dollar.
2. Computer Stoneybrook total 2014 payroll expense for Walsh.
3. Make the journal entry to record Stoneybrook's expense for the year, his payroll deductions, and net pay. Debit Salaries Expense and Bonus Expense as appropriate. Credit liability accounts for the payroll deductions and Cash for net pay. An explanation is not required.