Buckeye has an annual payroll of $170,000. In addition, the company incurs payroll tax expense of 9% of the annual payroll. At December 31, Buckeye owes salaries of $7,800 and FICA and other payroll tax of $850. The company will pay these amounts early next year.

Show what Buckeye will report for the foregoing on its income statement for the year and on its year-end balance sheet.