Maddox Co. pays salaries monthly on the last day of the month. The following information is available from Maddox Co. for the month ended December 31, 2016.

Administrative salaries .....$85,000

Sales salaries .......... 66,000

Office salaries ........ 48,000

Assume the Social Security tax rate is 6 percent on the first $110,000 of salaries and the Medicare tax rate is 1.5 percent on all salaries. James reached the $110,000 amount in October. His salary in December amounted to $11,000 and is included in the $85,000. No one else will reach the $110,000 amount for the year. None of the employee salaries are subject to unemployment tax in December.

Other amounts withheld from salaries in December were as follows:

Federal income tax ......$24,500

State income tax ....... 7,200

Employee savings plan .... 3,000

Required

a. Prepare the journal entry to record the payment of payroll on December 31, 2016.

b. Prepare the journal entry to record the payroll tax expense for Maddox Co. for December 2016.