An accountant for a corporation forgot to pay the firm's income tax of $725,769.12 on time. The government charged a penalty of 9.5% interest for the 37 days the money was late. Find the total amount (tax and penalty) that was paid. Assume 365 days in a year.
Q: Cash Flows from (Used for) Operating Activities The income statement disclosed the following items…
A: Introduction: Cash flow from operations is the component of a company's cash flow statement that…
Q: Kaplan (‘Relevance Regained’, Management Accounting, September 1988) states the view that the…
A: Traditional Cost Accounting :— The traditional costing system is an accounting method used to…
Q: Costs: Work in process, April 1 Direct materials: 100% complete Conversion costs: 20% complete Cost…
A: Direct Material Conversion Cost Physical Units % of completion Equivalent Units % of…
Q: At 1 July 2020, Flamingo Ltd acquired computer equipment at a cost of $900,000. The expected useful…
A: Depreciation expense for the period 1 July 2020 to 30 June 2021 = $900,000 - 05 years = $180,000…
Q: On July 1, 2021, Gupta Corporation bought 25% of the outstanding common stock of VB Company for $110…
A: The acquisition is a term that When a company purchases some other organization's shares. These…
Q: Cash Flows from (Used for) Operating Activities The net income reported on the income statement for…
A: Cash flow from operating activities is a part of the cash flow statement and it includes transection…
Q: Badgersize Company has the following information for its Forming Department for the month of August.…
A: Direct material is the raw material purchased or produced to make the final product. Conversion…
Q: Problem 1. Mala Inse Corporation is contemplating to buy P2,000,000 par value bonds at an effective…
A: Bond is that instrument which provide the fixed interest income on a every fixed period as per bond…
Q: Paying 10,000 dinars from the merchant Muhammad's debt in cash. This will lead to Liabilities…
A: Lets understand the basics. As per double entry accounting system, all the transaction is having two…
Q: Entry for Jobs Completed; Cost of Unfinished Jobs The following account appears in the ledger prior…
A: Work in process account is the sum of total of direct materials , direct labor and overhead applied…
Q: Compute (a) return on assets and (b) the adjusted return on assets for each of the three years.…
A: Return on Assets is computed to check the efficiency of the Business Entity in utilization of its…
Q: Mar. 31) The company paid $1,000 cash for this month’s utility bill. Note: Enter debits before…
A: Recording of journal entries is one of the starting step of accounting cycle process. Under this,…
Q: These items are taken from the financial statements of Cullumber Company at December 31, 2022.…
A: The balance sheet is a summary of permanent accounts prepared at the end of the accounting period.…
Q: 16. In its production of shirts, a company incurs the following costs: $15,000 for production…
A: Introduction: Prime costs are the total direct expenses of production, which include labor and raw…
Q: Sales Gross profit Indirect labor Indirect materials Other factory overhead Materials purchased…
A: A cost sheet is a method of allocating total costs into different categories. It helps to identify…
Q: Utease Corporation has several production plants nationwide. A newly opened plant in Dubuque…
A: For the purpose to determine how effectively and efficiently the firm is managed, can be measured…
Q: Office supplies were purchased on account for $ 4,000. Which account is ?credited Office supplies…
A: Account Payable :— Account Payable is Liability in Nature it is a Amount which is required to pay on…
Q: Geoff and Sandy Harland own and operate Wayward Kennel and Pet Supply. Their motto is, “If your pet…
A: Note: Hi! Thank you for the question, As per the honor code, we are allowed to answer three…
Q: The following actitivity took place during January and February: January February Sales Production…
A: Standard Costing :— Standard costs are used periodically as a basis for comparison with actual…
Q: On 31 December 2017, Snow Lake Pty Ltd purchased computers on credit for $60,000 plus GST. It has an…
A: Depreciation :— The decreasing value of Assets due to Wear, Tear & Obsolescence. Depreciation…
Q: Notes: a. The firm has an 8-year financial lease requiring annual beginning-of-year payments of…
A: The fixed charge coverage ratio measures the ability of a company in paying fixed charges which…
Q: Required information Use the following information for the Exercises below. (Static) [The following…
A: Lets understand the basics. There are various step of preparing final accounts which are, (1)…
Q: (Click the icon to view the adjusted trial balance.) Prepare Business's multi-step income statement…
A: Income Statement :— Income Statement is one of the Most important part of The Financial Statement.…
Q: The following data have been provided the Monster Manufacturing Company for the most recent period:…
A: Cost of goods manufactured is the cost incurred on the making of the goods. It is the cost which…
Q: 12.Market Values and Book Values Klingon Widgets, Inc., purchased new cloaking machinery three years…
A: Total Assets :— Total Assets In Include Current Assets + Non Current Assets. Total Assets Provides…
Q: Consider the following transactions occurring during a given fortnight. Remi's wage for his casual…
A: The journal entries that are required to be passed for all these 6 transactions are detailed below:
Q: On November 30, JT's Consulting Services wrote Check 1004 for $7,000 to prepay ? rent for December…
A: A journal entry records a transaction in the accounting system for an organization. Generally There…
Q: In our assignments should we use a table as shown in solutions or we can just simply write as an…
A: COGM stands for Cost of Goods Manufactured refers to the aggregate cost of goods that are…
Q: * On November 28, JT's Consulting Services purchased supplies for $3,000, Check ?1002. Which account…
A: The different balances in the accounts have debit and credit balance. The journal entries are…
Q: When a company purchases supplies on account Multiple Choice O O O Liabilities increase Total assets…
A: Supplies are the goods that can be bought by entity either on account or cash. If these are bought…
Q: At the beginning of Year 2, Jones Company had a balance in common stock of $300,000 and a balance of…
A: Shareholders' equity balance includes common stock, preferred stock, and additional paid-in capital.…
Q: Mar. 29) Fisher withdrew $5,600 cash from the company for personal use. Note: Enter debits before…
A: Drawings is the contra capital/ equity account which represents the withdrawal made by the business…
Q: Delph Company uses a job-order costing system and has two manufacturing departments-Molding and…
A: Predetermined overhead rate is the estimated rate which is determined to compute the estimated…
Q: Merchant Company issued 10-year bonds on January 1. The 5% bonds have a face value of $796,000 and…
A: Introduction: An interest expense is a cost of borrowing for a certain period of time. It is more…
Q: Pacific Gas and Electric Company is a large gas and electric utility operating in northern and…
A: Lets understand the basics. For calculating earning per share, we need to use below formula. Earning…
Q: 29. Tippy Cup Co. also incurred $10,550 for factory overhead and 250 hours of direct labor at $10.30…
A: Total manufacturing cost :— It is the total cost of production incurred during the period. It is…
Q: What are the types of work performed, the overall areas of focus, and/or other relevant information…
A: Accounting is the method by which the transactions of the business can be recorded so that the…
Q: Vermont Resources, which uses the FIFO inventory costing method, has the following account balances…
A: Introduction: When a corporation makes sales using the FIFO technique, the oldest inventory or stock…
Q: Problem 5 Dividends per share The Ted Williams Corporation has the following stock outstanding:…
A: Dividends are payments made to shareholders in exchange for their ownership of stock in a firm.…
Q: 17. Calculate the prime costs and conversion costs if a company incurs the following to produce wine…
A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If…
Q: On May 1, Year 3, Love Corporation declared a $50,000 cash dividend to be paid on May 31 to…
A: Horizontal Statement Model :— Horizontal analysis is used in the review of a company's financial…
Q: Total assets Notes payable (6% interest) Common stock Preferred 2.5% stock, $100 par (no change…
A: Return on Total Assets :— Return on total assets is a ratio that measures a company's earnings…
Q: Addison Company experienced an accounting event that affected its financial statements as indicated…
A: Collected cash from customers in partial settlement of its accounts receivable. Assets: Cash (+)…
Q: A. B. C. D. my pur Assets Cash (800) Supplies 800 (800) 800 Multiple Choice Option B Option C Option…
A: As we know that a transaction will have effect on accounting equation which represents Assets =…
Q: On November 30 JT's Consulting Services paid Office Plus $5,000 in partial ?payment of Invoice 2223,…
A: A journal entry records a transaction in the accounting system for an organization. Generally There…
Q: Department E had 4,000 units in Work in Process that were 40% completed at the beginning of the…
A: Introduction: Process costing is used in mass production of items, where the cost of individual item…
Q: Reproduced below from Farthington Supply’s accounting records is the accounts receivable subledger…
A: "You have posted a question with multiple sub-parts. We will solve first three sub-parts. Please…
Q: Allen Company received $12,000 cash from Gerry Corporation for cleaning services that Allen agrees…
A: Date Particulars Debit Amount Credit Amount June 1, Year 1 Bank A/c ......................Dr…
Q: Amalgamated General Corporation is a consulting firm that also offers financial services through its…
A: The process of recording business transactions in the books of accounts for the first time is…
Q: ?Paid $500 for a utility bill. Which account is debited Salaries Expense Supplies Equipment…
A: Salaries expenses account :— It is an expense account. This account is debited when salaries expense…
An accountant for a corporation forgot to pay the firm's income tax of
on time. The government charged a penalty of
interest for the
days the money was late. Find the total amount (tax and penalty) that was paid. Assume 365 days in a year.
Step by step
Solved in 2 steps
- An accountant for a corporation forgot to pay the firm’s income tax of $725,896.15 (uh-oh) on time. The government charged a penalty of 12.7% annual interest for the 34 days the money was late. Find the total amount that must be paidThe Net Profit Before Tax is $1,500,000. You receive the following notes: Professional fees include legal fees of $40,000 incurred in defending a legal action brought against the company by an irate employee for wrongful dismissal.Bad debt expenses of $42,000 include $12,000 of this amount is owed by a corporate customer who has gone out of business. The balance is a general provision for doubtful debts based on estimates.Donations include an amount of $10,000 for political donations.Capital Allowances was $250,000.You have calculated the adjusted profit to be: a.$1,250,000 b.$1,330,000 c.$1,512,000 d.$1,280,000#27 Chona company failed to recognize accruals and prepayments since the inception of its business three years ago. The earnings before tax, accrual and prepayments at the end of the current year are: Income before tax 504,000 Prepaid insurance 7,200 Accrued wages 9,000 Rent revenue collected in advance 10,800 Interest receivable 18,000 What is the corrected income before tax? Answer: 509,400 Pls provide solution and explanation for the answer above
- Target Co is a large transport company. In the previous financial year, it billed one of its customers $ 1,500 for services that it had provided. Target Co has recently discovered that the client is experiencing financial distress and will not be able to pay its bill. What action should Target Co take from a tax perspective? (Maximum 250 words)Mrs. Smith, the legal wife of Mr. Smith who is the city treasurer of Baguio, provided an information to the Bureau of internal revenue unpaid taxes leading to the recovery of P9,500,000. How much is the net amount to be received by the informant after deduction of final taxes? * a. P950,000 b. P1,000,0000 c. P855,000 d. 0Young Corporation has net income of $14,000. Young's federal income tax expense was $3,200. In addition, the company had an exclusion of $2,000, penalties of $500, and business meals with clients of $3,000. How much was Young's taxable income?
- Vulcan Company is a monthly depositor whose tax liability for March 20-- is $3,200. 1. What is the due date for the deposit of these taxes?April 15 2. Assume that no deposit was made until April 29 (14 days late). Compute the following penalties. Assume a 365-day year in your computations. Round your answers to the nearest cent. a. Penalty for failure to make timely deposit. $ b. Penalty for failure to fully pay tax. $ c. Interest on taxes due and unpaid (assume a 6% interest rate). $ d. Total penalty imposed.Dick Tracy Corporation paid the following expenses during the year: Interest for late payment (delinquent) income tax P5,000 Surcharge and compromise for late payment of income tax 30,000 Interest on bonds issued 40,000 Interest on money borrowed by the Company from a stockholder who owns 80% of the outstanding stock of the company 20,000 What is Dick Tracy Corporation’s deductible expense? a. P45,000 b. P75,000 c. P95,000 d. P60,000Donner Company began its operations in September of the current year. During September, the company paid wagesof $23,400. For the last quarter of the year, the taxable wages paid amounted to $64,700. None of the employeeswas paid more than $7,000 this year. a. Is Donner Company liable for FUTA tax this year? Explain.b. What is the net FUTA tax?...................................................... $
- In Year 1, George Michael Co. had financial accounting income of $850,000 before taxes, including $250,000 paid on premiums for life insurance of the C-suite officers (non-deductible expense). Other differences include $500,000 of rent revenue received in advance on January 1 Year 1 for a 5-year rent agreement to a customer ($100,000 earned each year) and an additional $150,000 difference because of tax depreciation (i.e., tax depreciation exceeds book depreciation). If George Michael Co. has a tax rate of 21%, what is the income tax expense on the December 31 Year 1 financial statements?1. Faye Faye Corporation's statement of financial performance for the year ended December 31, 20X2, shows pretax income of P 1,000,000. The following items are treated differently on the tax return and in the accounting records. Tax Return Accounting Records Rent income P 70,000 P 120,000 Depreciation Expense 280,000 220,000 Premiums on officers' life insurance 90,000 Faye Faye's rate for 20X2 is 30%. How much is the current tax expense for 20X2?Livia Company’s pretax income was $72,000. To compute taxable income, the following information is provided: Excess of estimated bad debts over write-offs $26,000 Penalty for late filing of income taxes 21,000 Excess of tax depreciation over accounting depreciation 36,000 Tax rate 20% What is the current portion of income tax? $12,400 $6200 $16,600 $22,600
