QUESTION 5 (24 MARKS) Mr. Encarnacion (Edwin) is employed by a publicly traded Canadian corporation. His 2019 salary was $82,500. In addition, he earned commission of $8,400. For the 2018 year, his employer withheld amounts from his income, the following list is an excerpt of such withheld amounts: Federal and Provincial Income Taxes $25,000 EI Premiums 858 CPP Contributions 2,594 Registered Pension Plan Contributions 4,200 Contributions to Group Disability Plan 175 Union Dues 375 Edwin's employer made a matching contribution of $4,200 to the registered pension plan and a $200 matching contribution for the group disability insurance. Other Information: 1. During 2018, the employer provided Edwin, as well as all other employees of the corporation, with non-cash gifts with a total value of $450. Edwin also received a total of $550 worth of discount on merchandise from the company. Any employee of the organization could utilize the discount. 2. Edwin is required to pay all travel and promotional expenses with no reimbursement from the Company. He had the following employment related expenses during 2019: Advertising $4,200 Client Entertainment 3,100 Traveling Costs (Hotels, Airlines And 50 Percent of Meals) 9,200 3. Edwin is provided with an automobile that is owned by his employer. The employer purchased the car in 2018 for $37,000, plus $4,810 in HST. During 2019, he drives the car a total of 85,000 kilometers, of which 79,000 kilometers were employment related. Edwin used the automobile for 252 days during 2019. When he was not using the automobile, his employer required that it be returned to their premises. 4. During 2019, Edwin was injured and was not able to do his job for a month. Edwin qualified for receipts of benefits from his disability plan. The disability plan, which provides periodic benefits to compensate for lost employment income paid him benefits of $2,500 during this period. Edwin began making contributions to this plan in 2017 and paid $250 for that year. 5. Several years ago, Edwin was granted options to acquire 2,500 shares of his employer's stock for $4 per share. At this time, the shares have a fair market value of $3 per share. On July 15, 2019, Edwin exercises all of these options. At this time, the fair market value of the shares is $7 per share. In November 2019, he sells all of the shares for $6 per share. 6. On September 15, 2019, the company declares a $50,000 bonus in favour of Edwin. The bonus is paid on January 15, 2020. 7. Edwin was lucky that his employer provided daycare, free of charge, that he utilized for his 3 year old son. The facilities were great and only the employees of the company were able to have access to the daycare facilities. REQUIRED: A) Calculate Edwin's minimum net employment income for the year ending December 31, 2018. Show all relevant calculations. EXPLAIN WHY YOU HAVE INCLUDED AN ITEM OR NOT! Ignore all GST and PST considerations.