BUSINESS COLLEGE

Toshlin issues financial statements on June 30. If payroll was $30,000 through June 30th and wages were to be paid on July 5. What is the correct journal entry on June 30?Assume FIT = 15%, FICA = 8%, SUTA = 6%, FUTA = 1%,

Answers

Answer 1
Answer:

Answer:

a. No entry is required.

b.   Payroll        Dr.      $30,000  

           Wages Payable                      Cr.   $30,000

c.     Payroll          Dr.           $30,000    

             Federal Income Tax              Cr.       $4,500    

             FICA Taxes Payable               Cr.      $2,400    

             Wages Payable                       Cr.      $23,100      

d.     Payroll                          Dr.      $30,000  

              Federal Income Tax                       Cr.         $4,500  

              FICA Taxes Payable                       Cr.        $2,400    

              SUTA                                               Cr.        $1,800    

              FUTA                                               Cr.        $300        

              Wages Payable                               Cr.        $21,000

Related Questions

Nancy is considering whether her toy manufacturing business should develop its own brand. Which is a company reward Nancy can expect from branding?
Geographically dispersed work groups no longer pose additional communication challenges given todays technology.a) trueb) false
A company marketing team identifies a small group of consumers who fit the profile of the typical customer. The team observes, gathers survey information from, or hangs out with these typical customers to gain insight into how the customers make product choices in order to design a future more rigorous study. The data collection method used in this example is ________.
In a press conference, the president of a small country displays a chart showing that GDP has risen by 10 percent every year for five years. He argues that this growth shows the brilliance of his economic policy. However, his chart uses nominal GDP numbers. This chart might be wrong because it: is rare for GDP to increase by the same amount for five years. only uses five years of information. relies on nominal GDP which might have increased because of price increases and not output increases. relies on nominal GDP which might have increased because of output increases and not price increases. If you were a reporter at the press conference, to get a more accurate picture of the country’s economic growth you should ask for the: unemployment rate which reflects changes in international flows. growth rate of real GDP which excludes price changes. growth rate of real GDP which includes price changes. inflation rate which includes price change.
Samantha was in the final stages of selling her existing business, but she backed out of the deal at the last minute because the buyer asked her to sign a contract stating that she would not enter into a similar business within the state for at least 15 years. This is an example of ______.

KTZ manufactures and distributes cutting edge hockey equipment. It has decided to streamline some of its operations so that it will beable to be more productive and efficient. Because of this decision it has entered into several transactions during the year.

Part 1

Determine the gain/loss realized and recognized in the current year for each of these events. Also determine whether the gain/loss
recognized is §1231, capital, or ordinary.

Item
Description

A KTZ sold an office building for $85,000 in cash. It originally bought the office building seven years ago for $59,000 and has taken $14,000 in depreciation.
B KTZ sold another machine for $6,200. It originally purchased this machine six months ago for $9,000 and has claimed $1,230 in depreciation expense against the asset.
C KTZ sold some of its inventory for $5,000 cash. This inventory had a basis of $8,000
D KTZ held stock in XYZ Corp., which had a value of $19,000 at the beginning of the year. That same stock had a value of $25,230 at the end of the year.
E KTZ sold a machine that it used to make computerized dies for $26,300 cash. It originally bought the machine for $16,200 three years ago and has taken $4,000 depreciation

Part 2

From the recognized gains/losses determined in part 1, determine the net §1231 gain/loss and the net ordinary gain/loss KTZ will recognize on its tax return.

Answers

Answer:

Consider the following explanations and calculations

Explanation:

part 1

a)  KTZ sold an office building for $85,000 in cash. It originally bought the office building seven

years ago for $59,000 and has taken $14,000 in depreciation.-

Ans- Bookvalue on date of sale= $59000- $ 14000= $ 45000

Profit on sale of office building= $85000- $45000= $40000

As per section 1231, out of profit of $40,000, amount of $14000, i.e till the amount of depreciation will be an ordinary income and $26000 (40000-14000) will be considered capital income.

b)

KTZ sold another machine for $6,200. It originally purchased this machine six months ago for

$9,000 and has claimed $1,230 in depreciation expense against the asset.

Ans- As the asset was held for less than one year, the provision of section 1230 will not apply. Thus, the loss will be treated as ordinary loss. The amount of ordinary loss =cost-depreciation-salesprice=9000-1230-6200= $1570

c)

KTZ sold some of its inventory for $5,000 cash. This inventory had a basis of $8,000

Ans-Section 1230 will not be applied to inventories. Thus ordinary profit of $3000 (8000-3000) will be considered.

d)

KTZ held stock in XYZ Corp., which had a value of $19,000 at the beginning of the year. That

same stock had a value of $25,230 at the end of the year.

Ans- Stock is treated as lower of market value or cost, hence no treatment, willl be shown at $19000

e)

KTZ sold a machine that it used to make computerized dies for $26,300 cash. It originally bought

the machine for $16,200 three years ago and has taken $4,000 depreciation

Ans- Bookvalue of computer- 16200-4000= $12,200

Profit= 26300- 12200= $14100

As per section 1231, out of profit of $14,100, amount of $4000, i.e till the amount of depreciation will be an ordinary income and $10100 (14100-4000) will be considered capital income.

part 2

Net section 1231 gain=26,000 + 10100= $ $36100

Ordinary gain= 14000+3000+4000= $21000

Ordinary loss= $ 1570

One year ago, you purchased 350 shares of Titan Wood Products for $63.17 per share. The stock has paid dividends of $.71 per share over the past year and is currently priced at $68.22. What is your total dollar return on your investment?a. $2016.00b. $1891.75c. $1767.50d. $2083.20e. $1008.00

Answers

Answer:

gfshjddjssx jvskjkjbggdaz ffddcb

Mixed Costs and Cost Formula Ben Palman owns an art gallery. He accepts paintings and sculpture on consignment and then receives 20% of the price of each piece as his fee. Space is limited, and there are costs involved, so Ben is careful about accepting artists. When he does accept one, he arranges for an opening show (usually for 3 hours on a weekend night) and sends out invitations to his customer list. At the opening, he serves wine, soft drinks, and appetizers to create a comfortable environment for prospective customers to view the new works and to chat with the artist. On average, each opening costs $600. Ben has given as many as 20 opening shows in a year. The total cost of running the gallery, including rent, furniture and fixtures, utilities, and a part-time assistant, amounts to $120,000 per year.Required:1. Assume that the cost driver is number of opening shows. Develop the cost formula for the gallery's costs for a year.
2. Using the cost formula developed above, what is the total cost for Ben in a year with 12 opening shows?
$
Using the cost formula developed above, what is the total cost for Ben in a year with 14 opening shows?
$

Answers

Answer:

$136,200 is the total costs for 14 opening shows

Explanation:

See attached file

Dana wants to give Fleesum's employees more freedom to schedule when they begin and end their work days. Her plan still requires employees to work eight hours per day, but allows them to start as early as 7:00 a.m. or as late as 9:00 a.m., and leave as early as 4:00 p.m. or as late as 6:00 p.m. Her plan also requires all workers to be on the job between 9:00 a.m. and noon, and between 2:00 p.m. and 4:00 p.m. The type of plan Dana wants to implement is known as a:

Answers

Answer:

The correct answer is letter "B": flextime plan.

Explanation:

A flextime plan consists in linking production hours with the availability of the individuals involved in a project or work. The different timeframes of availability do not affect the operations' peak hours either the total amount of hours those individuals must work in day or week.

The flextime plan aims to provide individuals the flexibility to choose the working schedule that matches better with their personal activities which may increase their commitment to the firm and productivity.

Asonia Co. will pay a dividend of $5.30, $9.40, $12.25, and $14.25 per share for each of the next four years, respectively. The company will then close its doors. If investors require a return of 9.8 percent on the company's stock, what is the stock price?

Answers

Answer:

$31.68

Explanation:

The computation of the stock price is shown below:

= Dividend for year 1 ÷ (1 + required return)^number of years + Dividend for year 2 ÷ (1 + required return)^ number of years + Dividend for year 3 ÷ (1 + required return)^ number of years + Dividend for year 4 ÷ (1 + required return)^ number of years  

= $5.30 ÷ (1 + 9.8%) + $9.40 ÷ (1 + 9.8%)^2 + $12.25 ÷ (1 + 9.8%)^3 + $14.25 ÷ (1 + 9.8%)^4

= 4.82695810564663 + 7.79692170895252 + 9.25399090557962 + 9.80404969365523

= 31.681920413834

= $31.68

According to the modern view of the Phillips curve, expansionary macroeconomic policy that leads to inflation will reduce unemploymenta. only if people underestimate the inflationary side effects of the policy.

b. only if people overestimate the inflationary side effects of the policy.

c. if people accurately anticipate the inflationary side effects of the policy.

d. only if monetary policy provides the macroeconomic stimulus.

Answers

Answer:

a. only if people underestimate the inflationary side effects of the policy.

Explanation:

The modern Phillips curve suggests that as inflation increases, unemployment reduces and vice versa dependent on two factors; the level of inflation and the excess of growth rate of wages  over the expected inflation. The larger the excess, the greater the effect of the expansionary monetary policy. Thus, if it is underestimated, then the unemployment will greatly reduce.  

Other Questions
Which statement is an objection of using the Consumer Price Index (CPI) to measure changes in the cost of living
The Food and Drug Administration is targeting salt in processed foods as a health hazard, and some experts believe the agency will require food manufacturers to limit the amount of salt in processed foods. However, the reduction will occur in phases, with salt content being reduced in steps so that consumers will be weaned off of salt gradually. Carefully controlled research studies are underway in which the salt levels are varied and consumers' reactions to the taste are measured. This research is an example of:________ a) causal research b) conditional research c) exploratory research d) objective research e) descriptive research
The difference between total factory overhead cost incurred during a period and the total standard factory overhead cost assigned to production of the period is the:______________.A) Flexible-budget variance.B) Production-volume variance.C) Total factory overhead variance.D) Overhead efficiency variance.E) Total overhead spending variance.
Sandpiper Inc. has a division that manufactures a component that sells for $ 160 and has a variable cost of $ 35. Another division of the company wants to purchase the component. Fixed cost per unit of the component is $ 25. What is the minimum transfer price if the division is operating at​ capacity?