On June 30, 2024, Crane Ltd's general ledger contained the following liability accounts: Accounts payable CPP payable El payable Sales tax payable Employee income tax payable The following selected transactions occurred during the month of July: July 1 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $16,000. Interest is due at maturity. 2 6 10 15 $47,000 2,880 1,133 6,500 5,525 24 31 Provided services for customers worth $16,000 plus HST of 13%. The company received payment in full for services and HST. Sold inventory for cash totalling $49,720 that also includes 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Remitted $6,500 HST pertaining to sales tax collected in June. Remitted $9,538 to the government for amounts owing from the June payroll for employee payroll deductions of $7,437 (CPP $1,440, EI $472, and employee income tax $5,525) and for employee benefits of $2,101 (CPP $1,440 and El $661). Paid $30,000 to trade creditors on account. Paid amount owing to employees for the month. Gross salaries totalled $19,000 and payroll deductions included CPP of $801, El of $316, and employee income tax of $5,860. Employee benefits included CPP of $801 and El of $442.
On June 30, 2024, Crane Ltd's general ledger contained the following liability accounts: Accounts payable CPP payable El payable Sales tax payable Employee income tax payable The following selected transactions occurred during the month of July: July 1 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $16,000. Interest is due at maturity. 2 6 10 15 $47,000 2,880 1,133 6,500 5,525 24 31 Provided services for customers worth $16,000 plus HST of 13%. The company received payment in full for services and HST. Sold inventory for cash totalling $49,720 that also includes 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Remitted $6,500 HST pertaining to sales tax collected in June. Remitted $9,538 to the government for amounts owing from the June payroll for employee payroll deductions of $7,437 (CPP $1,440, EI $472, and employee income tax $5,525) and for employee benefits of $2,101 (CPP $1,440 and El $661). Paid $30,000 to trade creditors on account. Paid amount owing to employees for the month. Gross salaries totalled $19,000 and payroll deductions included CPP of $801, El of $316, and employee income tax of $5,860. Employee benefits included CPP of $801 and El of $442.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Do not give image format
Record the transactions for July 10 and 31.
Transcribed Image Text:On June 30, 2024, Crane Ltd's general ledger contained the following liability accounts:
Accounts payable
CPP payable
El payable
Sales tax payable
Employee income tax payable
July 1
2
6
The following selected transactions occurred during the month of July:
10
15
24
$47,000
31
2,880
1,133
6,500
5,525
Issued a three-month, 6% note payable in exchange for an account payable in the amount of $16,000. Interest is due at
maturity.
Provided services for customers worth $16,000 plus HST of 13%. The company received payment in full for services
and HST.
Sold inventory for cash totalling $49,720 that also includes 13% HST. The cost of goods sold was $24,000. Crane uses
a perpetual inventory system.
Remitted $6,500 HST pertaining to sales tax collected in June.
Remitted $9,538 to the government for amounts owing from the June payroll for employee payroll deductions of
$7,437 (CPP $1,440, El $472, and employee income tax $5,525) and for employee benefits of $2,101 (CPP $1,440 and
El $661).
Paid $30,000 to trade creditors on account.
Paid amount owing to employees for the month. Gross salaries totalled $19,000 and payroll deductions included CPP
of $801, El of $316, and employee income tax of $5,860. Employee benefits included CPP of $801 and El of $442.
Transcribed Image Text:July 10
V
July 31
Sales Tax Payable
Accounts Receivable
Show Transcribed Text
Salaries Expense
Employee Income Tax Payable
CPP Payable
El Payable
Salaries Payable
(To record salaries and employee deductions for the
month)
6500
19000
OLOT
6500
5806
801
316
12077
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education