If ABC Company provide bonus to one of its officer of 20% on profit after bonus and income taxes, assuming the profit before bonus and taxes is 150,000 and income tax rate is 30%, which of the following is not correct?     a.bonus is P 18,421.05 b.income tax is P 39,473.68 c.bonus is P 16,666.67

Q: Hua Company has an agreement to pay its sales manager a bonus of 5% of income after bonus and after…

A: Tax means the mandatory payment made to government for the income earned. Bonus means the amount…

Q: 9. Georgy, Inc. has an incentive compensation plan under which the sales manager receives a bonus…

A: Bonus = (Income before bonus but after income tax)*10%

Q: SESAME-SEED Company has a bonus agreement which provides that the senior managers will receive an…

A: Bonus is the amount of additional compensation or amounts that are payable to employees on account…

Q: After three profitable years, Cairo Company decided to offer a bonus to the branch manager of 25% of…

A: Bonus is given to manager  as part of salary and will be treated as expense for business. When bonus…

Q: Calculate income tax payable or repayable for the tax year 2020/21.

A: Income tax payable is the tax payable which is the taxpayer has to pay on the income earned during…

Q: 1.ABC Company has an incentive compensation plan that pays its president a bonus equal to 10% of the…

A: Since you have asked multiple questions we can solve only first question for you if you want to get…

Q: year before bonus and tax is P5,250,000. The income tax rate a bonus of 5% of the entity's earnings.…

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: he ABC Company enjoys profitable operations for its past ten years of existence. The company…

A: Solution We are required to calculate the general manager's bonus for 2019 under Alternative 2 Given…

Q: 2. JYD Accounting Firm pays its employees at a rate of P50/hr. The tax and other deductions amount…

A: “Since you have asked for 2nd question, we will solve the same for you. If you want any other…

Q: Jax Company provides an incentive compensation plan under which its president received a bonus equal…

A: Amount of the bonus = 10% x income before income tax but after deduction of the bonus…

Q: The sales manager of the Walbrook Company receives an annual bonus of 10% of net income after bonus…

A: Bonus refers to monetary incentives that are given by employers to employees to motivate them to…

Q: EF Enterprises realized a profit of 240,000 for the year. Fajardo, the managing partner, is allowed…

A: Bonus is the term which is described as the payment that is generally made to the employees in…

Q: Required: Compute the sales manager's bonus and the income tax expense for the Walbrook Company.…

A: Solution:- Given, Income before bonus an tax = $400,000 Tax rate = 40%  Bonus rate = 10%

Q: The profit for 2019 of Dwight Company before any deduction for bonus and income tax amounted to…

A: Profit after Tax = Profit before deducting Bonus and Tax - Bonus - Tax

Q: Maryland company offers a bonus plan to its employees equal to 3% of net income. Maryland's net…

A: Bonus expense =3% of net income (before providing such bonus expense)

Q: V Co. has an agreement to pay its sales manager a bonus of 7.5% of the company's earnings due to an…

A: SOLUTION-   BONUS- IT IS A FINANCIAL COMPENSATION THAT IS ABOVE AND BEYOND THE NORMAL PAYMENT…

Q: 2. Sohar Company had a 40 percent tax rate. Given the following pre-tax amounts, what would be the…

A: Income tax is a liability of every individual toupee to the government based on their taxable…

Q: 1. JYD Accounting Firm pays its employees at a rate of P50/hr. The tax and other deductions amount…

A: "As per bartleby guidelines we will solve the first question for you. If you want any specific…

Q: Bonus Obligation Raymond Moss, vice president of Moss Auto Parts, gets an annual bonus 10% of any…

A: Bonus is the additional amount of compensation being paid to employees for their good performance.…

Q: his Company grants its managerial employees bonus in the form of profit sharing. Information on…

A: Given information   Profit before tax = P 4,000,000 Bonus rate = 10%  Income tax = 30% After bonus…

Q: Natural Company has an agreement to pay the sales manager a bonus of 10% of the entity's earnings.…

A: The bonus can be paid to manager on different conditions as before bonus or after bonus.

Q: A. Ferrero Company has an agreement to pay its sales manager a bonus of 10% of the income after…

A: Let assume the income after bonus and tax = X Then the manager bonus will be = X * 0.10 = 0.1X The…

Q: ABC Corporation pays bonuses to its Chief Finance officer. The company had profit for 2021 of P…

A: Solution Given  profit for 2021 before bonuses and income taxes. P 5,000,000 bonus after…

Q: ble Company provides an incentive compensation plan under which its president received a bonus qual…

A: The net income before tax can be computed from net income after tax using rate of income tax.

Q: Italy company has an incentive compensation plan under which a branch manager received 10% of the…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: V Co. has an agreement to pay its sales manager a bonus of 7.5% of the company's earnings due to an…

A: Calculation of Profit before tax : Net Income = ₱6,890,500 Less : Bonus = (₱480,733)…

Q: ADHER grants its managerial employees bonus in the form of profit shanng. Information on operations…

A: Calculation of bonus in all cases are as follows

Q: Baekhyun Company distributes annual bonuses to its sales manager and two sales supervisors. The…

A: Bonus is the additional pay that a company pays to its employees over and above their regular…

Q: ABC Co. distributes annual bonus to its sales manager. The company reported P2 million profit for…

A: The net income after tax is calculated as follows: Net income after tax = Net income before income…

Q: FI Company offered a bonus to its branch manager of 25% of income over P1,000,000 earned by the…

A: Bonus amount = (Income before tax - Bonus amount - P1,000,000) x Bonus rate Let the bonus amount = a

Q: ABC Co. provides an incentive compensation plan under which its president receives a bonus equal to…

A: Pretax Income =  Gross Revenue – Operating, Depreciation, and Interest Expenses + Interest Income

Q: $1,137,500 increase to deferred tax asset, $1,137,500 decrease to tax expense

A: Deferred tax refers to the difference between the amount of depreciation computed using the rate…

Q: Nature Company has an agreement to pay each sales manager a bonus of 5% of the entity's earnings and…

A: A bonus is a monetary remuneration that is far in excess of the ordinary installment assumptions for…

Q: Ronald Company has an incentive compensation plan under which a branch manager received 10% of the…

A: Let, Bonus = X Bonus = (Income before bonus and tax - Bonus) x 10%

Q: The ABC Company enjoys profitable operations for its past ten years of existence. The company…

A: Alt 1 : 8% bonus  Alt 2 : 5% bonus  Alt 3 : 3% bonus    Profit before tax = P 8,000,000

Q: ABC Co. distributes annual bonus to its sales manager. The company reported 2 million profit for…

A: The net profit after tax is calculated as difference between net income and income tax.

Q: If ABC Company provide bonus to one of its officer of 20% on profit after bonus and income taxes,…

A: Let bonus = a so, bonus = [(profit before bonus and taxes - bonus) x (1 - tax rate)] x 20% a =…

Q: Santos Company had a 40 percent tax rate. Given the following pre-tax 21) amounts, what would be the…

A: Income tax is charged on the net income of the business. The net income is the Excess of revenue…

Q: Please show your solution in good accounting form V Co. has an agreement to pay its sales manager a…

A: Given, The bonus is computed after deduction for both bonus and tax Income after tax =  ₱6,890,500 ×…

Q: 2. An entity reports profit before bonus and taxes of P1,800.00 during the year. The entity has an…

A: Tax means the mandatory payment made by assesse to the government without expecting anything…

Q: V Co. has an agreement to pay its sales manager a bonus of 7.5% of the company's earnings due to an…

A: Given that, V Co. has an agreement to pay its sales manager a bonus of 7.5% income for the year…

Q: a Company has an agreement to pay its sales manager a bonus of 5% of income a ter tax. The income…

A: The amount of current liability for bonus = amount of bonus due to the sales manager for the year…

Q: A retailer has a gross sales of P1,400,000 with cost of sales of P560,000 and allowable deductions…

A: Tax is paid by the taxpayer on the taxable income. A taxpayer is the individual who has earned an…

Q: An accountant must pay taxes and payroll bonuses to employees from the company’s profits of…

A: Company's Profit =$2000,000

Q: SESAME-SEED Company has a bonus agreement which provides that the senior managers will receive an…

A: Let, Income before bonus and tax = X so, Income after tax = (X - bonus) x (1 - tax rate)

Q: Entity A has an incentive compensation plan under which the sales manager receives a bonus equal to…

A:

Q: 11. After three profitable years, Grace company decided to offer a bonus to the branch manager of…

A: Bonus is the additional amount or compensation which is paid to the employees for additional work…

Fringe Benefit Tax

Fringe benefits are in addition to the compensation that companies give to their employees. It is an additional benefit above the stated salary. It helps to keep the employees of the firm motivated as sometimes the only salary is not enough to retain the quality employees of the firm. There are different types of fringe benefits. Fringe benefits are given in both private as well as public enterprises.