Question
Sandra Singh works as the manager for the Shmenge Brothers music store. She earns $1,200 a week for a 40-hour week and time and a
Sandra Singh works as the manager for the Shmenge Brothers music store. She earns $1,200 a week for a 40-hour week and time and a half for anything over 40 hours per week. During the first week of the year, Sandra worked 46 hours. The income tax withholdings are 20% of gross earnings. Canada Pension Plan deductions are 4.95% of gross earnings and Employment Insurance deductions are 1.83% of gross earnings. The worker's compensation premium is 1.6% of gross earnings. Ignore the basic Canada Pension Plan exemption. 1)What is the correct journal entry to record the salary expense? 2)What is the amount of the CPP deduction ? 3)What is the correct journal entry to record the employer's share of the withholdings?
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