Question

Madewaska Timber Inc. had the following transact Feb. 14 The board of directors for Madawaska Timber Inc. approved a bonus payout to employees in the amount of $300,000. The source deductions on the bonus earned were CPP of $14,850, which Madawa ka matched: El of 14,890, which matched at 1.4 times, and income taxes of $60,000 and Maly $3,000 to the Union of Forest Workers (UFW) to cover union dues. In addition, Madawaska was required to pay Workers' Compensation Board (WCB) of British Columbia premiums of 6.54% based on the bonus costs Feb. 15 Pold the bonus approved by the board of directors on February 14. Feb 20 Made the remittance to the government related to the February 14 bonus Feb. 21 Made the remittance to UFW related to the February 14 bonus. (a) Your answer is incorrect. Try again. and the total amount that able to the government on Feb. 20. (Round answers to de Determine the amount of the employees' net wages, the total wages expense for Mads places, p. 125.) 165200 Employees' Net Wages Total Wages Expense Total amount that is Payable to the Government BOLT ACCOUNTS SOLUTION

Answer 1

Employees net wages

Bonus	300000
Less; CPP	14850
Less: EI	4890
Less: Income Tax	60000
Less: UFW	3000

Net Wages

217200

Total Wages Expenses

Bonus 300000 Add: CPP 14850 Add: EI (1.4 times of 4890) 6846 Bonus cost 321696 Add: WCB (6.54% of bonus cost) 21039

Total wages expenses

342735

Total amount payable to Government

CPP (14850+14850) 29700 EI (4890+6846) 11736 Income Tax 60000 WCB 21039

Total amount payable to Govt

122475