Miller Manufacturing Has a Two-Week Payroll of $8,200 for Its

question 12

Multiple Choice

Miller Manufacturing has a two-week payroll of $8,200 for its eight employees.Income tax of $1,080 is deducted from the employees' cheques,as well as 4.95% for CPP and 1.6% for EI.Wages deposited in employees' bank accounts would be

• A)$6,583.
• B)$7,120.
• C)$7,663.
• D)$8,200.

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Definitions:

"A bird in hand"

A principle implying that it is better to have a certain, smaller benefit now than a possibility of a greater benefit later, often used in dividend policy discussions.

Future Earnings

Projected or anticipated profits a company expects to earn in future periods, often used for valuation purposes.

Short-Term Benefit

Refers to immediate rewards or perks provided to employees, including bonuses, sick leave, and temporary incentives.

Long-Term Benefit

Advantages or positive outcomes that accrue over an extended period, often associated with investments or strategic business decisions.