A Company Has 10 Employees Who Earned a Total of $30,000

question 60

Multiple Choice

A company has 10 employees who earned a total of $30,000 in January ($3,000 each) . CPP taxes are 4.95% paid by employees and 4.95% paid by the employer. Income tax withholdings amount to $4,500. The employee EI rate is 1.66% of the total, and the employer EI contribution is 1.4 times the employee portion. The gross pay of the 10 employees during January is

• A) $33,209
• B) $33,113
• C) $30,000
• D) $29,190
• E) $28,230

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Definitions:

Regulation

Rules or directives made and maintained by an authority to control or manage activities, often to protect public interests.

Protect Competition

Measures and policies established to ensure fair competition within markets, preventing monopolies and fostering innovation and fairness.

Social Regulation

Regulations that aim to protect public welfare, including health and safety standards, environmental protections, and consumer rights.

No Free Lunch

Refers to the idea that one cannot get something for nothing; for every benefit or good received, a cost, either direct or indirect, is incurred.