Income taxes Cornerstone Exercise 8-26 (Algorithmic) Payroll Taxes Hernandez Builders has a gross payroll for January amounting to $S60,000. The following amounts have been withheld: $71,000 Canada Pension Plan contributions 34,720 Employment Insurance contributions 5,000 Pension plan contributions 8,120 Charitable contributions 1% of gross pay Union dues 2% of gross pay Required: 1. What is the amount of net pay recorded by Hernandez? 2. Prepare the journal entries to record the payroll (employer pays additional 100% of employees' CPP and 140% of employees E1). If an am blank. Required: 1. What is the amount of net pay recorded by Hernandez? 2. Prepare the journal entries to record the payroll (employer pays additional 100% of employees' CPP and 140% of employees E1). If an amount b blank. (Record wages and liabilities) w (Record employer payroll taxes)