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Question - Pronghorn Corp.'s gross payroll for April is $49,700. The company deducted $2,247 for CPP, $1,033 for EI, and $9,081 for income taxes from the employees' cheques. Employees are paid monthly at the end of each month.
Record journal entry for Pronghorn on April 30 to record the payment of the April payroll to employees.
Record journal entry on April 30 to accrue Pronghorn's employer payroll costs. Assume that Pronghorn is assessed workers' compensation premiums at a rate of 1% per month and accrues for vacation pay at a rate of 4% per month.
On May 15, Pronghorn pays the Receiver General the correct amounts for April's payroll. Record a journal entry to record this remittance.
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