Gross Pay: Federal Income Tax: (10% of Gross Pay) Social Security Tax (6.2% of Gross Pay) Medicare Tax (1.45% of Gross Pay) $1,287.50 1128735 •10122-875 6-021287-50 198-25 186.68 •0.145X11287-50 6 Total Required Deductions: 3859 Net Pay $1
Q: The most recent financial statements for Bison Inc. are shown below: Income Statement Sales $7,600…
A: Given: Current sales = $7,600 Assets = $21,700 Increase in sales = 18% The assets and costs will…
Q: how much money can be withdrawn from this account immediately after the 20th deposit? Round off…
A: Since the interest rate is compounded quarterly and the payments are made annually, we first need to…
Q: Information for two alternative projects involving machinery investments follows: Project 1 $…
A: The accounting rate of return refers to the return earned on the investment. It is measured as a…
Q: A company has a bank loan outstanding that requires it to make annual payments of $1,000,000 at the…
A: Here, Annual Payments is $1,000,000 Interest Rate is 6% Compounding Period is Quarterly i.e. 4 Time…
Q: Holt Enterprises recently paid a dividend, Do, of $1.75. It expects to have nonconstant growth of…
A: Given: Current dividend, D0 = $1.75 Nonconstant growth rate for 2 years, G = 24% Constant growth…
Q: What is the lender's yield for a $350,000 loan amortized over 15 years at a 5.5% interest rate.…
A: Lender's yield is calculated by first computing the annual payment on the loans at the given rate of…
Q: Which of the following ratios would a company want to see decrease over time? ROA Days Sales…
A: The statistical assessment of a company's financial success is done through ratio analysis. It…
Q: Show full calculation for step 2
A: Current sales = $7600 Current Net Income = $2420 Current Assets = $21,700 Current Liabilities =…
Q: Which of the following is needed to calculate a firm’s WACC? A. the cost of carrying inventory…
A: The weighted average cost of capital (WACC) expresses the expected return on capital provided to an…
Q: solute question (b)please.
A: As per instruction only question b will be solved. Using the formula below you would have found…
Q: Your company is contemplating replacing their current fleet of delivery vehicles with Nissan NV…
A: Through the funding from creditors and investors, the company is regulating. Creditors assist the…
Q: 21. The k-year spot rate is given by the formula s = 0.068 +0.002k - 0.001k². What is the 3-year…
A: An equation leading to the determination of spot rates for various maturities, has been provided.…
Q: Vigour Pharmaceuticals Ltd. is considering investing in a new production line for its pain-reliever…
A: Initial cost includes the cost of equipment, installation cost and increase in net working capital.…
Q: You are evaluating a project for The Ultimate recreational tennis racket, guaranteed to correct that…
A: The cashflows of a project include (1) Initial investment (2) operating cash flows and (3) terminal…
Q: A small manufacturing company had the cash flows shown below. Calculate a) the internal rate of…
A: The internal rate of return(IRR) is the rate that equates the present value of cash inflows with the…
Q: Determine the book value of equity per share ($) before share dilution for CSR in 2021 based on RAW…
A: We, have to first calculate the number of outstanding common shares available for trading which will…
Q: F 6.70% 8.53% 8.38% 9.25% Stock Investment Expected Return A $100,000 B $200,000 с $100,000 D…
A: A collection of investments in various assets is known as a portfolio. When a portfolio comprises…
Q: Anwar Jones has an insurance policy that pays benefits to him in cash when he is hospitalized. What…
A: When it comes to insurance, there are many different types of policies that are available to…
Q: Trailblaze Corp. is considering buying a new truck. The cost of the truck is $62,000 (the only…
A: Net Present Value is the modern method of capital budgeting that is used to determine the worth of…
Q: Jane Hospital has issued 4,000 new bond issues with an 8 percent coupon, piad semi-annually and…
A: Coupon rate = 8% (Semi-annual payment) Maturity = 10 years Par value = $1000 Flotation cost = 2% of…
Q: (Bond valuation) A bond that matures in 20 years has a $1,000 par value. The annual coupon interest…
A: A bond is a debt instrument issued by corporations, municipalities, and governments to raise capital…
Q: A loan of 109,517.20 is being repaid with level annual payments of K at an annual effective interest…
A: A loan is being amortized by level payment. The quantum of principal repaid in a particular payment…
Q: You observed that the most recent price of a stock was $50. If the stock's dividends are expected to…
A: We will use and apply the dividend discount model here. As per the dividend discount model the price…
Q: The current price of a non-dividend-paying stock is $30. Over the next six months it is expected to…
A: Formula of risk neutral probability is : p = erT - du - dwhere,p =risk neutral probability…
Q: Use discriminant analysis to classify the accompanying new records using only Credit Score and Years…
A: We have to run a logistic regression, with the Y values as the 1 for approved, 0 for rejected. The…
Q: Stock A has and initial price of $100, an ending price of $110, and 1,000 shares of common stock…
A: The rate of return is the amount of profit or loss on an investment, expressed as a percentage of…
Q: The total cost formula for a company can be modeled by TC 12570 + 50x where x represents the number…
A: When determining when you will break even financially, a break-even analysis compares the costs of a…
Q: The management of Stillford Micro Brew is considering the purchase of an automated bottling machine…
A: In a typical capital budgeting replacement project, the simple rate of return is required. For the…
Q: A stock has a required return of 15%, the risk-free rate is 7.5%, and the market risk premium is 5%.…
A: CAPM states that the return of the stock and the systematic risk associated with the stock are…
Q: A project has the following cash flows: Year 0 1 2 3 4 Cash Flows -$ 12,600 5,650 8,170 5,520 -1,460…
A: First of all, find the future value of all the cash inflows, take take it as the amount, assume…
Q: Company A has a beta of 0.70, while Company B's beta is 1.20. The required return on the stock…
A: A Beta = 0.70 B Beta = 0.95 Required return on market = 11% Risk free rate = 4.25%
Q: Douglas borrowed $1000 from Patricia. He agreed to repay her $1150 after 3 years. What was the…
A: Borrowed Money (PV) = $1000 No. of years (t) = 3 Future Value (FV) = $1150
Q: Firm AAA has no debt. Existing assets generate earnings of $20mil. per year forever. Discount…
A: Given the following: Existing Earnings = $20,000,000 Discount rate = 10% No. of outstanding shares =…
Q: The money borrowed on June 2 is an interest-only loan with a 10 percent interest rate. The interest…
A: Data: Let the amount borrowed be $100,000 Interest rate=10% Interest accrues each month even though…
Q: REQUIRED RATE OF RETURN (Percent) 20.0 16.0 12.0 8.0 4.0 0 of 0.5 Return on HC's Stock 1.0 RISK…
A: There is relationship of risk and return. This relationship help invested to make decisions…
Q: A credit card has a $910 balance and a 19.19% annual percentage rate. The minimum required monthly…
A: We will use formula of Outstanding Loan balance to know the balance left after 41 payments :…
Q: Red Lions Corporation takes out a $8.6 million short-term amortizing loan for nine months at 11.4%…
A: The sum borrowed to meet the specific personal or business needs is regarded as the loan/mortgage.…
Q: In your own words, describe the role of a treasurer at a bank and explain, with examples, three…
A: The treasurer is a crucial executive in a bank, responsible for managing the bank's cash and…
Q: Vigour Pharmaceuticals Ltd. is considering investing in a new production line for its pain-reliever…
A: Initial cost includes the cost of equipment, installation cost and increase in net working capital.…
Q: An amortization of a debt is in a form of a gradient series of P10,000 on the first year, P9,500 on…
A: Payment in year 1 = p1 = P10,000 Payment in year 2 = p2 = P9500 Payment in year 3 = p3 = P9000…
Q: Jake is a financial adviser at a small firm that publishes an online financial blog for the benefit…
A: As a financial advisor, it is important to provide clients and prospective clients with accurate and…
Q: Farley Inc. has perpetual preferred stock outstanding that sells for $46 a share and pays a dividend…
A: Given the following: Annual dividend = $2.50 Current stock price = $46
Q: Find the present values using the given discount rates. Payments of $1,000 at 3 months from…
A: Present value is that which is determined with the help of future value and discount rate . It is…
Q: Describe that the Capital Asset Pricing Model (CAPM) tells us and how to use it.
A: The Capital Asset Pricing Model (CAPM) is a financial model which depicts the relationship between…
Q: Kids Hospital needs to raise $100 million to pay for a new addition to its children’s rehabilitation…
A: Here, Amount to raise is $100 million (Par Value of Bond) Time to Maturity is 20 years Coupon Rate…
Q: You are attempting to value a put option with an exercise price of $107 and one year to expiration.…
A: A call option gives the holder the right to buy the underlying asset at a specified price and at a…
Q: Government policies relating to the national debt and barriers to trade do not impact the demand and…
A: A equilibrium value of one monetary system conveyed in another currency's value is referred to as an…
Q: Drag the tiles to the table. Each tile can be used more than once. Determine the most likely action…
A: Investment refers to employing savings or idle cash into interest yield alternatives. Investments…
Q: You have been asked by the president of your company to evaluate the proposed acquisition of a new…
A: Through the funding from creditors and investors, the company is regulating. Creditors assist the…
Q: How does the efficient frontier change if we add the risk free asset into the portfolio of risky…
A: The efficient frontier is a set of optimal portfolios that maximizes expected returns for a given…
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- An employee earns $8,000 in the first pay period. The FICA Social Security Tax rate is 6.2%, and the FICA Medicare tax rate is 1.45%. What is the employees FICA taxes responsibility? A. $535.50 B. $612 C. None, only the employer pays FICA taxes D. $597.50 E. $550Consider gross earnings of $86,000. The standard deduction is $12,000 and itemized deduction is $8,000. Social security tax rate is 6.2%; Medicare tax rate is 1.45%. How much is the taxable income (for federal income tax)? Give typing answer with explanation and conclusionConsider gross earnings of $84,000. The standard deduction is $12,000 and itemized deduction is $5,000. Social security tax rate is 6.2%; Medicare tax rate is 1.45%. How much is the taxable income (for federal income tax)?
- Amounts to Be Reported on Wage and Tax Statements (Form W-2) Gross Federal Income Social Security Medicare Employee Earnings Tax Withheld Tax Withheld Tax Withheld Arnett $ 8,250.00 $ 1,416.00 $ 495.00 $ 123.75 Cruz 57,600.00 9,996.00 3,456.00 864.00 Edwards 24,000.00 4,776.00 1,440.00 360.00 Harvin 6,000.00 1,070.00 360.00 90.00 Nicks 110,000.00 25,850.00 6,600.00 1,650.00 Shiancoe 116,000.00 26,000.00 6,960.00 1,740.00 Ward 7,830.00 1,314.00 469.80 117.45 Totals $ 329,680.00 $ 19,780.80 $ 4,945.20 Employer Payroll Taxes a. Social security…Calculating Social Security and Medicare Taxes Assume a Social Security tax rate of 6.2% is applied to maximum earnings of $128,400 and a Medicare tax rate of 1.45% is applied to all earnings. What is the social security tax paid if jose 's gross income is $145,780.00 for the year.2. In this pay, Moss Company deducted OASDI taxes of $5,276.24 and HI taxes of $1,233.95 from the $85,100.90 of taxable wages paid. What is Moss Company’s portion of the social security taxes for: (a) OASDI?(b) HI?
- A VAT taxpayer received P45,900 inclusive of VAT and net of 10% creditable withholding tax. Compute the gross income subject to regular taxJournalize payroll taxThe payroll register of Heritage Co. indicates $4,200 of social security withheld and $1,050 of Medicare tax withheld on total salaries of $70,000 for the period. Earnings of $12,000 are subject to state and federal unemployment compensation taxes at the federal rate of 0.8% andthe state rate of 5.4%. Journalize the entry to record the payroll tax expense for the period.Subject : Accounting Use the 2021 marginal tax rates to compute the tax owed by the person with the given filing status, taxable income, and tax credit. Single with a taxable income of $17,000 and a $2,000 tax credit Tax Rate Single 10% up to $9,950 15% $9,951 to $40,525 The tax owed is _____ dollars. (Type an integer or a decimal, Round to the nearest cent as needed.)
- Payroll Tax Entries According to a summary of the payroll of Guthrie Co., $587,000 was subject to the 6.0% social security tax and the 1.5% Medicare tax. Also, $19,000 was subject to state and federal unemployment taxes. Question Content Area a. Compute the employer's payroll taxes, using the following rates: state unemployment, 5.4%; federal unemployment, 0.6%.$fill in the blank 04825efc801a047_1 Question Content Area b. Journalize the entry to record the accrual of payroll taxes. If an amount box does not require an entry, leave it blank.ournalize Payroll Tax The payroll register of Patel Heritage Co indicates $1,986 of social security withheld and $496.50 of Medicare tax withheld on total salaries of $33,100 for the period. Earnings of $9,600 are subject to state and federal unemployment compensation taxes at the federal rate of 0.8% and the state rate of 5.4%. Provide the journal entry to record the payroll tax expense for the period. If an amount box does not require an entry, leave it blank. Round to two decimal places. Payroll Tax Expense Payroll Tax Expense Social Security Tax Payable Social Security Tax Payable Medicare Tax Payable Medicare Tax Payable State Unemployment Tax Payable State Unemployment Tax Payable Federal Unemployment Tax Payable Federal Unemployment Tax Payable1. What self-employment tax rate is applied to earnings that exceed $142,800 in a year and also do NOT exceed the additional Medicare tax threshold? Answer: A. 15.3% B. 12.4% C. 2.9% D. 1.45% 2. What is the standard credit applied to the FUTA tax rate in non-credit reduction states? Answer: A. 0.6% B. 0.9% C. 5.4% D. 6% 3. An employer in a non-credit reduction state would pay FUTA taxes of _____ for an employee whose year-to-date earnings prior to the current period are $7,200 and who earns $1,100 during the current period. Answer: A. $0 B. $6.60 C. $43.20 D. $49.80