Prepare a journal entry to record this remittance

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Question - Blue Spruce Corp.'s gross payroll for April is $47,000. The company deducted $2,202 for CPP, $873 for EI, and $9,041 for income taxes from the employees' cheques. Employees are paid monthly at the end of each month.

Required -

1. Prepare a journal entry for Blue on April 30 to record the payment of the April payroll to employees.

2. Prepare a journal entry on April 30 to accrue Blue's employer payroll costs. Assume that Blue is assessed workers' compensation premiums at a rate of 1% per month and accrues for vacation pay at a rate of 4% per month.

3. On May 15, Blue pays the Receiver General the correct amounts for April's payroll. Prepare a journal entry to record this remittance.

Reference no: EM133108323

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