Question

A company showed the following information in its payroll register for the week ended March 16, 2015:

EI Premium	Income Taxes	Medical Insurance	CPP	Union Dues	Total Deductions	Net Pay	Sales Salaries Expense	Office Salaries Expense	Shop Salaries Expense
26.70	303.35	47.50	66.96	90.00	534.50	885.50	1,420
30.08	388.39	52.50	75.87	105.00	651.84	948.16			1,600
35.72	494.34	25.00	90.72	127.50	773.28	1,126.72			1,900
23.50	229.29	35.00	58.54	78.75	425.08	824.92		1,250
116.00	1,415.37	160.00	292.09	401.25	2,384.70	3,785.30	1,420	1,250	3,500

1. Prepare a General Journal entry to record the payroll register information. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to 2 decimal places.)



2. Prepare a General Journal entry to record the employer’s payroll expenses resulting from the payroll. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to 2 decimal places.)



3. Prepare General Journal entries to accrue employee fringe benefit costs for the week. Assume that the company matches the employees’ payments for medical insurance and contributes an amount equal to 8% of each employee’s gross pay to a retirement program. Also, each employee accrues vacation pay at the rate of 6% of the wages and salaries earned. The company estimates that all employees eventually will be paid their vacation pay. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to 2 decimal places.)

Answer 1

Trans	Date	Particulars		Debit	Credit
1	March 16, 2015	No Entry Required
		Note: Only one entry for accounting payroll expenses is required, which is at serial no. 2. No entry is required to record the payroll register information.
2	March 16, 2015	Sales Salary Expenses A/c		1,420.00
		Office Salary Expenses A/c		1,250.00
		Shop Salary Expenses A/c		3,500.00
			To EI Premium A/c		116.00
			To Income Taxes Payable A/c		1,415.37
			To Medical Insurance A/c		160.00
			To CPP A/c		292.08
			To Union Dues A/c		401.25
			To Salary Payable A/c		3,785.30
			(Common or Individual A/cs)
				6,170.00	6,170.00
		Being Salary due for the week ending March 16, 2015 accounted for
	Note: CPP a/c is reduced by 0.01 as total of deductions for first row/Sales salary is exceeding by this amount)
3	March 16, 2015	Employer Medical Expenses Contribution A/c		160.00
		Employer Contribution for Retirement Exp A/c		493.60
		Leave Salary Expenses A/c		370.20
			To Medical Insurance A/c		160.00
			To Retirement Fund A/c		493.60
			To Leave Salary Payable A/c		370.20
				1,023.80	1,023.80
		Being employer's expenses on salary for the week ending March 16, 2015 accounted for (i.e. Retirement contr @8%, leave salary @6% of gross salary, medical equal to employee contribution)
	Note: 1. On payment of Salary, Salary payable a/c shall be dbited
	2. On payment of expenses, respective fringe benefit payable a/c to be debited