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Saleem Enterprises is a graphic design company. The accountant needs to prepare the relative journal entries to determine items related to salaries, deductions, and contributions
Saleem Enterprises is a graphic design company. The accountant needs to prepare the relative journal entries to determine items related to salaries, deductions, and contributions a) On May 31, Saleem Enterprises had gross pay for employees of $52,700. Total employee contributions to to employee pensions are $1,600. Using the additional information provided below, prepare the journal entry to record the pay period assuming salaries expense and salaries payable accounts are used. Employee income tax payable $7,905 CPP Payable El Payable $2,870 $830 Do not enter dollar signs or commas in the input boxes. Round your answers to the nearest whole number For transactions with more than one debit, enter the debit accounts in alphabetical order. For transactions with more than one credit, enter the credit accounts in alphabetical order. Date Account Title and Explanation Debit Credit May 31 Salaries Expense CPP Payable El Payable Employee Income Tax Payable + Employee Pensions Payable Salaries Payable Record salaries and deductions 0 2870 b) Assume that Saleem Enterprises is required to pay the government 100% of the amount of CPP and 140% of El deducted from employees, and that it contributes the same amount toward the employee pensions as contributed by employees. Using this information and the data from part al, prepare the journal entry for the employer's payroll contributions. Date Account Title and Explanation May 31 Employee Benefits Expense CPP Payable CPP Payable Employee Pensions Payable Record Saleem payroll expenses = = Debit Credit
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