PRACTICE EXERCISE $5$

The following information is taken from the payroll records of Letzelter Manufacturing on June $30.$

Gross Pay$$Production Department $$ $$18,700$

$$General Office $5,200$

$23,900$

Deductions: $$

Federal income tax $$3,068$

Provincial income tax $2,046$

CPP $717$

EI $574$

Company Pension $478$

RSP Contributions $4,000$

Medical Plan $239$

Canada Savings Bonds $850$

Union Dues $74812,720$

Total Net Pay $$ $$11,180$

$($a$)$Record a compound General Journal entry for the payroll on June $30.$

$($b$)$Record a compound General Journal entry for the employer$$s contributions to CPP$,$ EI$,$ company pension, and medical plan on June $30$:

$$CPP and EI as usual

$$company pension and medical plan on an equal basis

$($c$)$Record entries in the Cash Payments Journal for:

$$the issuance of the paycheques on June $30$

$$the remittance to ManuLife on June $30$ for the company pension plan, RSP contributions, and the medical plan

$$the payment on June $30$ to Canadian Trust for the Canada Savings Bonds contributions

$$the remittance of the union dues on June $30$

$$the remittance of income tax, CPP$,$ and EI to Canada Revenue Agency on July $14$