Lightning Electronics is a mid-size manufacturer of lithium batteries. The company’s payroll records for the November 1–14 pay period show that employees earned wages totalling $100,000 but that employee income taxes totalling $14,000, Canada Pension Plan (CPP) totalling $2,250, and Employment Insurance (EI) totalling $3,000 were withheld from this amount. The net pay was directly deposited into the employees’ bank accounts. 

a. What was the amount of net pay? 

b. Prepare the journal entry or entries that Lightning would use to record the payroll. Include both employee and employer taxes. Tip: Employer CPP equals employee CPP. Employer EI equals 1.4 times employee EI.