Question 1 Chen Wholesalers Ltd. incurred the following transactions related to current liabilities: 1. Chen's cash register showed the following totals at the end of the day on March 17: pre-tax sales $49,000; GST $2,450; and PST $3,430. 2. Chen received its property tax bill for the calendar year for $53,700 on May 1, payable July 1. 3. Chen's gross payroll for the week of August 15 was $82,700. The company deducted $4,240 for CPP, $1,555 for EI, $6,200 for pension, and $14,610 for income tax from the employees' pay. The employer portions of CPP and El for the week were $4,240 and $2,177 respectively. 4. On August 22, all amounts owing for employee income taxes, CPP, and El pertaining to the payroll in transaction 3 above were paid. 5. On October 1, Chen borrowed $100,000 from First Bank for a six-month period; 4% interest on the bank loan is payable on April 1. Record journal entries for the transactions above. (Round answers to the nearest whole dollar, e.g. 5,275. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 1 (To record payroll and employee deductions) (To record employee benefits) Aug. 22 Assuming that Chen's year end is December 31 and that it makes adjusting entries annually, prepare any adjusting entries required for the property tax in transaction 2 and the interest in transaction 5. (Round answers to the nearest whole dollar, e.g. 5,275. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit (To record property tax) (To record interest) Record the journal entry for the settlement of the bank loan in transaction 5 on April 1. (Round answers to the nearest whole dollar, e.g. 5,275. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit Apr. 1