Joan's Golf Shop Ltd. had the following transactions involving current liabilities in its first year of operations 1 2 The company ordered golf equipment from suppliers for $558,000, on credit. It paid $515,000 to suppliers during the year, The shop has severy employees who earn gross wages of $283,000 for the year. From this, the company deducted 24% for income taxes, $14.000 in CPP premiums, and $4,610 in El premiums before distributing the cheques to the staff as an employer. Joan was also required to match the employees CPP premiums and pay 56,454 in El premiums. Eleven twelfths of the amounts due to the government (all except the last month) were paid before the end of the year. The company gives customers a one year warranty against defects on golf clubs. Management estimated that warranty costs would total 2% of sales Sales of golf clubs for the year were $1,000,000 During the year, the company spent $13,100 on refunds under the warranty Some customers order very expensive, custom-made golf clubs in these cases, the company requires them to pay a deposit of 50% of the selling price when the order is placed. During the year deposits totalling $24.500 were received for custom orders. None of these orders have been delivered yet. 3 4 El Payable (To record payment to the government.) 3. (To record warranty expense.) (To record warranty payments.) Current Liabilities: $ $