The Summary of the Payroll for the Monthly Pay Period

The summary of the payroll for the monthly pay period ending July 15 indicated the following: $\begin{array}{lr}\text { Salaries } & \$ 180,000 \\\text { Federal income tax withheld } & 32,300 \\\text { Medical insurance withheld } & 7,370 \\\text { Social security tax withheld } & 10,800 \\\text { Medicare tax withheld } & 2,700\end{array}$ Illustrate the effects on the accounts and the financial statements of (a) the payroll and (b) the employer's payroll tax expense for the month.The state unemployment tax rate is 4.2%, and the federal unemployment tax rate is 0.8%.Only $30,000 of salaries are subject to unemployment taxes.