Todd Earns an Hourly Rate of $20 and Had Taxes

question 73

Multiple Choice

Todd earns an hourly rate of $20 and had taxes, CPP, and EI withheld totaling $200. What would his net earnings be if he worked 46 hours (assuming double time over 40 hours) ?

• A) $840
• B) $780
• C) $720
• D) $860

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Definitions:

Average Operating Assets

Average operating assets are the mean value of the resources employed in a company's operations over a certain period, used to evaluate the efficiency of asset use in generating revenue.

Residual Income

The amount of income that an individual or company retains after all operating expenses and charges, including cost of capital, have been deducted.

Minimum Required Rate

The lowest acceptable rate of return on an investment that a manager or investor specifies, considering the project's risk level.

Investment Opportunity

A financial investment or venture with the potential for yielding returns, involving the allocation of resources with the expectation of future financial gains.