I need help figuring out this problem but I need help understanding how to solve it I don't just need an answer as really the answer is unimportant it's just me knowing how to solve a problem like this.
How much money would be required to be paid each year in nine equal payments that would begin two years from today in order to repay a $10,416 loan that was received from the bank today while the interest rate is 6% per year?
Thanks to anyone who can help me understand how to solve this problem with detailed steps and explanations.
I need help figuring out this problem but I need help understanding how to solve it I don't just need an answer as really the answer is unimportant it's just me knowing how to solve a problem like this.
How much money would be required to be paid each year in nine equal payments that would begin two years from today in order to repay a $10,416 loan that was received from the bank today while the interest rate is 6% per year?
Thanks to anyone who can help me understand how to solve this problem with detailed steps and explanations.
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On Monday, May 26, Tina Brown walked into Innovative Patios to begin her new job as Payroll Manager. She was met by Julie Thornbury, President and major shareholder of the company. Julie got to the point: Good, you're here. I need a payroll plan by Friday. This place is a mess.
Yesterday I got a call from Human Resources & Skills Development Canada. He said we aren't filing ROEs. Do you know what they are?
We've got employees telling us that they get more tax deducted than their friends who earn the same amount. Jim, our production manager is barking that he should have a tax credit for his kid. We've been fined for sending in employee taxes late. I don't get it. I pay two people to run the administrative side of things and they mess things up.
I hear there are changes in the pipeline. I heard about the federal budget, but I don't know if we will benefit or not. Will it be just more paperwork? The bottom line is that I don't want any more government types coming around here threatening me. Tell me what we have to do.
Company History
Innovative Patio is a private corporation that installs patios stones made from recycled material. The company was started twenty years ago by Julie's parents Elena and Seamus. Elena and Seamus were immigrants to Canada and earned a living through a small landscaping business. They hired workers on contract and paid in cash for many years until they were audited by the tax department.
To avoid further problems, they incorporated the company five years ago, but their workers on the payroll, and hired Mary as a bookkeeper to fill out all the government forms.
Payroll Department
Mary quickly became Innovative Patios office manager, human resources manager, financial administrator, and payroll manager. The workload was overwhelming and she convinced Julie to hire Liza to help her. Liza suggested they use Quicken to keep track of all accounts including payroll.
Mary and Liza fill out all cheques by hand for the ten employees and fill out all the government forms by hand. The company's remittances are based on a checklist Mary developed in 2009 (See Exhibit), Mary is unhappy because she works very hard, but everyone complains about things being wrong. When Julie landed a large contract that would require 15 more people to be hired, Mary recommended that Julie hire a professional payroll manager. I can handle the other stuff, but the Canada Revenue Agency and the employee complaints are driving me crazy. I just can't keep up. I will be as helpful as I can.
Julie led Tina to her office and rushed off to take care of a crisis on the loading dock. Before Tina could get settled, Mary walked in, I am so happy to meet you. Just tell me what you need and Liza and I will get it for you. The employees are paid bi-weekly and this Wednesday is a payday. I haven't prepared anything
because I knew you would be here.
Exhibit: Mary's 2009 Remittance list
|
Item |
Amount |
How much to remit |
When |
|
Payroll |
Annual $500,000 |
$1,000 payroll remittance |
Monthly Pay balance plus interest when assessment arrives |
|
CPP |
4.95% earnings (to annual max) |
$2,062.50 |
Monthly |
|
EI |
1.98% earnings (to annual Max) |
$49,000 |
Year-end |
|
GST |
Net annual subject to HST $200,000 at 13% |
$1,500 |
Monthly Use the refund to go toward payroll remittances due |
Please answer the following questions:
a) Who are the key stakeholders in this case?
b) What are the resources needed?
c) What resources are available?
d) What is the main issue in this case?
Thank you in advance!
