The Ripcord Parachute Club of Burlington employs three people and pays them on a weekly basis. Payroll

Question:

The Ripcord Parachute Club of Burlington employs three people and pays them on a weekly basis. Payroll data for the four weeks in February 2021 are shown below.



Assumptions
Employees pay 100% of the cost of long-term disability (LTD). Employees contribute just over 5% of their salary to the pension plan; the employer contributes 6% of the employees’ salary to the plan. Medical cost is split 50/50 by employees and employer. All payroll-related deductions are paid on the 15th of March.


Required
a. While recording the payroll journal in February, the bookkeeper for the Ripcord Parachute Club did not record any expense for employee benefits. Give the four journal entries that should be made for the month to record this expense.
b. Post the entries from the payroll journal and the entries in a. above to the T accounts shown below. You may ignore the accounts that are not shown.

c. List the cheques and the amounts of the cheques that will be issued on March 15 for the February payroll.

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Related Book For  book-img-for-question

College Accounting A Practical Approach

ISBN: 9780135222416

14th Canadian Edition

Authors: Jeffrey Slater, Debra Good

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