Answer:
a) debit to Salaries and Wages Expense for $98400.
Explanation:
The Journal entry is shown below:-
Salaries and wages expenses Dr, $98,400
To FICA tax payable $7,530
To Federal Income tax payable $20,500
To Medical Insurance payable $3,700
To Salaries and wages payable $66,670
(Being monthly payroll on April 30 is recorded)
Therefore, we debited the salary and wages expenses as expenses is increasing while we credited FICA taxes payable, federal income tax payable, medical insurance payable and salaries and wages payable as its increasing the liabilities.
The state unemployment taxes is ignored as it is not relevant
