Response to the following problem:
Mel O'Conner works as a cook for a Steak 'n Shake diner. His straight-time pay is $10 per hour, with time and a half for hours in excess of 40 per week. O'Conner's payroll deductions include withheld income tax of 7% of total earnings, FICA tax of 8% of total earnings, and a weekly deduction of $5 for a charitable contribution to United Fund.
Required:
Assuming O'Conner worked 50 hours during the week,
(a) compute his gross pay and net pay for the week and
(b) make a general journal entry to record the store's wage expense for O'Conner's work, including payroll deductions. Explanations are not required.