Stanely Records has four employees who are paid on the 1st and 15th of each month for the work they performed in the preceding half-month. At September 30, each employee is owed gross pay of $1,500, but each one must have 10% of their pay withheld for income taxes. Each must also make Canada Pension Plan contributions of 5.1% of their gross pay and pay Employment Insurance premiums of 1.62% of their gross pay. Prepare the payroll journal entries required to reflect these amounts, along with Stanely's share of CPP contributions and El premiums, in Stanely's September 30 financial statements. Prepare the journal entry to record the accrual of the payroll on September 30. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.) Accounts and Explanation Debit Credit Date September 30 Prepare the journal entry to record the related employer's liability on September 30. For CPP, assume the employer matches the employee's contribution dollar for dollar. For El, assume the employer pays a premium of $1.40 for every dollar in premiums paid by the employee. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.) Accounts and Explanation Credit Date September 30 Debit
Stanely Records has four employees who are paid on the 1st and 15th of each month for the work they performed in the preceding half-month. At September 30, each employee is owed gross pay of $1,500, but each one must have 10% of their pay withheld for income taxes. Each must also make Canada Pension Plan contributions of 5.1% of their gross pay and pay Employment Insurance premiums of 1.62% of their gross pay. Prepare the payroll journal entries required to reflect these amounts, along with Stanely's share of CPP contributions and El premiums, in Stanely's September 30 financial statements. Prepare the journal entry to record the accrual of the payroll on September 30. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.) Accounts and Explanation Debit Credit Date September 30 Prepare the journal entry to record the related employer's liability on September 30. For CPP, assume the employer matches the employee's contribution dollar for dollar. For El, assume the employer pays a premium of $1.40 for every dollar in premiums paid by the employee. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.) Accounts and Explanation Credit Date September 30 Debit
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Stanely Records has four employees who are paid on the 1st and 15th of each month for the work they performed in the preceding half-month. At September 30, each employee is owed gross pay of $1,500, but
each one must have 10% of their pay withheld for income taxes. Each must also make Canada Pension Plan contributions of 5.1% of their gross pay and pay Employment Insurance premiums of 1.62% of their
gross pay. Prepare the payroll journal entries required to reflect these amounts, along with Stanely's share of CPP contributions and El premiums, in Stanely's September 30 financial statements.
Prepare the journal entry to record the accrual of the payroll on September 30. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.)
Accounts and Explanation
Credit
Debit
Date
September
30
Prepare the journal entry to record the related employer's liability on September 30. For CPP, assume the employer matches the employee's contribution dollar for dollar. For El, assume the employer pays a
premium of $1.40 for every dollar in premiums paid by the employee. (Enter debits first, then credits. Enter explanations on the last line of the journal. Round amounts to the nearest cent.)
Accounts and Explanation
Credit
Date
September
30
Debit
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