Bailey is a Namibian fisherman who works in a newly established organisation called Shimano Manufacturers. This organisation was founded by Mr Sage in late 2012. It specialises in the catching and processing of fresh salmon to manufacture fish cakes for the retail industry across the country. Bailey earns a basic wage rate of N$60 per hour. Shimano manufacturers operate eight hours a day, five days a week, fifty-two weeks per annum. Employees also work one Saturday every month for five hours which is considered a normal overtime remunerated at 1.5 times the normal rate. The organisation's policy is to award employees a birthday bonus of N$10 000. Employees are entitled to twelve days' annual leave and there are seventeen public holidays a year. Both the employer and employee contribute to the pension fund on a 60:40 basis, and on equal basis for the medical aid fund. Monthly pension fund contribution made by Bailey is N$1 400. Total weekly medical aid contribution is N$700. The organisation's annual Unemployment Insurance Fund (UIF) contribution is N$4 750. Idle time is calculated at a rate of 7% of available hours.

Bailey is a Namibian fisherman who works in a newly established organisation called Shimano Manufacturers. This organisation was founded by Mr Sage in late 2012. It specialises in the catching and processing of fresh salmon to manufacture fish cakes for the retail industry across the country. Bailey earns a basic wage rate of N$60 per hour. Shimano manufacturers operate eight hours a day, five days a week, fifty-two weeks per annum. Employees also work one Saturday every month for five hours which is considered a normal overtime remunerated at 1.5 times the normal rate. The organisation's policy is to award employees a birthday bonus of N$10 000. Employees are entitled to twelve days' annual leave and there are seventeen public holidays a year. Both the employer and employee contribute to the pension fund on a 60:40 basis, and on equal basis for the medical aid fund. Monthly pension fund contribution made by Bailey is N$1 400. Total weekly medical aid contribution is N$700. The organisation's annual Unemployment Insurance Fund (UIF) contribution is N$4 750. Idle time is calculated at a rate of 7% of available hours.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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