Appendix I
Review Exercise Solutions
430
d) Employer expenses
JOURNAL Page 1
Date
2015
Account Title and Explanation
Debit Credit
Jun 19 Employee Benefits Expense
342.81
CPP Payable
154.12
EI Payable
92.58
Health Plan Payable
75.00
Workers' Compensation Payable
21.11
Record business expense
Employer portion of EI = $66.13 × 1.4
Workers’ compensation = $3,517.50 × 0.6%
e) Government remittance
JOURNAL Page 1
Date
2015
Account Title and Explanation
Debit Credit
Jul 15 CPP Payable
308.24
EI Payable
158.71
Income Tax Payable
633.15
Cash
1,100.10
Payment to the government
CPP Payable = $154.12 + $154.12
EI Payable = $66.13 + $92.58
