1. © 2013 McGraw-Hill Ryerson Limited. The entry to record the employer’s portion of CPP and EI for textbook Exhibit A.2 is: EI expense (1.4 x $65.22) 91.31 CPP (or QPP) expense 156.43 EI payable 91.31 CPP (or QPP) payable 156.43 Payroll Deductions Required of the Employer LO 3 1

2. © 2013 McGraw-Hill Ryerson Limited. The employees’ deductions and the employer’s portion are liabilities that must be remitted to the Receiver General. After recording the payroll, the payroll liability balances would be: EI PayableCPP (or QPP) Payable 65.22*156.43* 91.31**156.43** 156.53312.86 Hospital Ins. Payable Employees’ Inc. Tax Pay. 120.00*478.55* * Employees’ contribution **Employer’s contribution Paying the Payroll Deductions LO 3 2

3. © 2013 McGraw-Hill Ryerson Limited. The entry to record the remittance to the Receiver General would be: EI Payable 156.53 Employees’ Income Tax Payable478.55 CPP (or QPP) Payable312.86 Cash947.94 EI PayableCPP (or QPP) Payable 65.22156.43 91.31156.43 156.53312.86 Hospital Ins. Payable Employee Inc. Tax Pay. 120.00478.55 Paying the Payroll Deductions LO 3 3

4. © 2013 McGraw-Hill Ryerson Limited. The entry to record the remittance for the hospital insurance premiums deducted would be: Employees’ Hospital Insurance Payable 120.00 Cash120.00 Hospital Ins. Payable 120.00 Paying the Payroll Deductions LO 3 4