Sylvia Chan is a clerk in the shoe department of the Hudson's Bay store in Winnipeg. She
Question:
Sylvia Chan is a clerk in the shoe department of the Hudson's Bay store in Winnipeg. She earns a base monthly salary of $1,875 plus a 7 percent commission on her sales. Through payroll deductions, Chan donates $50 per month to a charitable organization and pays benefit premiums of $49.15. Compute Chan's gross pay and net pay for December, assuming her sales for the month are $50,000. The income tax rate on her earnings is 20 percent, the CPP contribution rate is 4.95 percent (account for the $3,500 basic annual exemption), and the EI premium rate is 1.88 percent. Chan has not yet reached the CPP or EI maximum earning levels.
Step by Step Answer:
Horngrens Accounting Volume 1
ISBN: 9780135359709
11th Canadian Edition
Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura, Carol Meissner, JoAnn Johnston, Peter Norwood