On June 30, 2024, Crane Ltd's general ledger contained the following liability accounts: Accounts payable CPP payable El payable Sales tax payable Employee income tax payable The following selected transactions occurred during the month of July: July 1 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $16,000. Interest is due at maturity. 2 6 10 15 $47,000 2,880 1,133 6,500 5,525 24 31 Provided services for customers worth $16,000 plus HST of 13%. The company received payment in full for services and HST. Sold inventory for cash totalling $49,720 that also includes 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Remitted $6,500 HST pertaining to sales tax collected in June. Remitted $9,538 to the government for amounts owing from the June payroll for employee payroll deductions of $7,437 (CPP $1,440, EI $472, and employee income tax $5,525) and for employee benefits of $2,101 (CPP $1,440 and El $661). Paid $30,000 to trade creditors on account. Paid amount owing to employees for the month. Gross salaries totalled $19,000 and payroll deductions included CPP of $801, El of $316, and employee income tax of $5,860. Employee benefits included CPP of $801 and El of $442.
On June 30, 2024, Crane Ltd's general ledger contained the following liability accounts: Accounts payable CPP payable El payable Sales tax payable Employee income tax payable The following selected transactions occurred during the month of July: July 1 Issued a three-month, 6% note payable in exchange for an account payable in the amount of $16,000. Interest is due at maturity. 2 6 10 15 $47,000 2,880 1,133 6,500 5,525 24 31 Provided services for customers worth $16,000 plus HST of 13%. The company received payment in full for services and HST. Sold inventory for cash totalling $49,720 that also includes 13% HST. The cost of goods sold was $24,000. Crane uses a perpetual inventory system. Remitted $6,500 HST pertaining to sales tax collected in June. Remitted $9,538 to the government for amounts owing from the June payroll for employee payroll deductions of $7,437 (CPP $1,440, EI $472, and employee income tax $5,525) and for employee benefits of $2,101 (CPP $1,440 and El $661). Paid $30,000 to trade creditors on account. Paid amount owing to employees for the month. Gross salaries totalled $19,000 and payroll deductions included CPP of $801, El of $316, and employee income tax of $5,860. Employee benefits included CPP of $801 and El of $442.
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter8: Employer Taxes, Payments, And Reports
Section: Chapter Questions
Problem 6E: On September 30, Cody Companys selected account balances are as follows: In general journal form,...
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Record the transactions for July 10 and 31.
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