Asked by Jacob Willard on Jul 04, 2024
Verified
Payroll liabilities include the employer's share of CPP contributions and EI premiums.
Payroll Liabilities
Financial obligations related to employee compensation, including owed wages, salaries, and other benefits, which a company must pay.
CPP Contributions
Payments made into the Canada Pension Plan by workers and employers to fund future retirement, disability, or survivor benefits.
EI Premiums
Contributions made by employees and employers to the Employment Insurance (EI) program, which provides temporary financial assistance for unemployed workers.
- Understand the properties of current liabilities and their effect on a company's liquidity.
Verified Answer
ZK
Zybrea KnightJul 05, 2024
Final Answer :
True
Explanation :
Payroll liabilities indeed include the employer's share of Canada Pension Plan (CPP) contributions and Employment Insurance (EI) premiums, as these are amounts the employer is responsible for remitting to the government on behalf of both themselves and their employees.
Learning Objectives
- Understand the properties of current liabilities and their effect on a company's liquidity.