Description: We could soon be dealing with two million unemployed Canadians in the face of the COVID-19 virus. Canada has not seen unemployment rates like this in over 70 years. The story tells us that the job losses are not distributed very evenly, with about 40% of those making $14 an hour or less facing unemployment. For those in higher income brackets, the loss rate could be as low as 1%.
Date: March 25, 2020
1) Have you or someone you know lost a job during this crisis? How are they coping?
2) Were you aware of the federal government’s announcement that support would be available to those who lose their jobs?
3) In Wiley’s Advanced Accounting by Fayerman, you will find chapter ten dealing with financial reporting in the public sector. Given these exceptional circumstances, what size of deficit do you think the federal government financial statements will show for the year ending 31 March 2021?