Chapter 4
Current Liabilities
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d) Prepare the journal entry on February 1, 2016 to pay the employee’s net pay.
Date
Account Title and Explanation
Debit
Credit
e) Prepare the journal entry on February 15, 2016 to remit all the payroll deductions to
the CRA.
Date
Account Title and Explanation
Debit
Credit
AP-4A (
7
)
On January 1, 2017, Cervera Company borrowed $100,000 from the local bank. The loan is
payable in equal installments over five years. Write the journal entry to record the loan. How
much of the loan would be considered current on January 1, 2017?
Date
Account Title and Explanation
Debit
Credit
