Reference no: EM132742701

Problem 1: Claire Rozon works for Lebrun Ind. in Montréal and has a company-leased automobile for her use during the year. Given the following information, calculate Claire's annual taxable benefit. Claire has asked the company to use the optional method of calculating her operating cost benefit.

a. Monthly cost of the automobile $400

b. GST on monthly cost (5.00%) $ 20.00

c. QST on monthly cost (9.975%) $ 39.90

d. Days available (Jan 1 - Dec. 31, of the current year) 365

e. Total kilometres driven 50,000

f. Personal kilometres driven 22,000 g. Employee reimbursement $ 0.00

Select one:

Option 1: $4,812.55

Option 2: $4,345.16

Option 3: $5,002.79

Option 4: $5,518.80

Problem 2: Kenneth works in Manitoba and is paid an annual salary of $41,115.00, which is paid semimonthly. Kenneth is also provided with group term life insurance with a monthly premium of $54.00 including all taxes. The employer pays 50% of this premium. Calculate Kenneth's Employment Insurance premium per pay period.

Select one:

Option 1: $27.08

Option 2: $30.02

Option 3: $29.84

Option 4: $28.78