Gloria Margolis (Social Insurance Number 234-118-955) was hired by Martin Materials (CRA Payroll Program Account Number 34567 8901 RP0001) in Ottawa, Ontario as a salesperson on January 3 of the current year. Gloria was paid solely by commissions on a monthly basis and did not have an agreement that established insurable hours. The minimum wage in effect at the time is $11.40. The organization terminated Glorias employment July 27 due to a shortage of work. Glorias total commission earnings for her period of employment, Wednesday, January 3 to Friday, July 27, were $41,649.00. This amount included her final commission payment. Upon termination of employment the organization paid Gloria $1,400.00 pay in lieu of notice plus vacation pay of 4% of her vacationable earnings. Complete Glorias paper Record of Employment.

The solution is

Block 6 Weekly Block 15A Total Insurable Hours Total weekly insurable hours are not established. = Total insurable earnings Minimum wage x Insurable weeks = $41,649.00 $11.40 x 30 = 121.78 The maximum of 35 insurable hours per week will be used to determine the total insurable hours for Block 15A of this employees Record of Employment. = (35 hours x 29 weeks) + 21 hours for the first week = 1,036.00 hours Block 15B Total Insurable Earnings Divide the insurable earnings by the number of insurable weeks (30) = $41,649.00 30 = $1,388.30 (average weekly earnings) Multiply the average weekly earnings by 27 = $1,388.30 x 27 = $37,484.10 Add any insurable amounts reported in Block 17 = $37,484.10 + 1,400.00 + 1,721.96 = $40,606.06 (total insurable earnings)

My question how they calculate the vacation to =1,721.96