Brief Exercise 10-3

Zerbe Consulting Inc.s gross salaries for the biweekly period ended August 24 were $13,600. Deductions included $756 for CPP, $256 for EI, and $5,921 for income tax. The employers payroll costs were $756 for CPP and $358 for EI. Prepare journal entries to record (a) the payment of salaries on August 24; (b) the employer payroll costs on August 24, assuming they will not be remitted to the government until September; and (c) the payment to the government on September 3 of all amounts owed. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

No. Date Account Titles and Explanation Debit Credit (c) Sept.3