Answer:
The amount the employer should record as payroll taxes expense for the employee for the month of January is $695.75
Explanation:
According to the given, The FICA tax rate for Social Security is 6.2% and the FICA tax rate for Medicare is 1.45%. The current FUTA tax rate is 0.6%, and the SUTA tax rate is 4.4%.
The remainder are taken out of the employees' checks as part of their responsibility.
Therefore, to calculate the amount the employer should record as payroll taxes expense for the employee for the month of January we would have to make the following calculation:
Total payroll expense=($5,500 x 0.062)
+ ($5,500 x 0.0145)
+($5,500 x 0.006)
+($5,500 x 0.044)
Total payroll expense=$695.75
The amount the employer should record as payroll taxes expense for the employee for the month of January is $695.75
Answer:
The maximum Southern Tours could pay to acquire the Holiday Vacations is the present is the value of the inflows to be generated from the target company.
The present of the target business is $519,799.59
Explanation:
That amount is the maximum that should be paid for the target business,depending on negotiation skills of Southern Tours' management.
A lower price could be bargained,which better makes the investment more profitable.
Find attached spreadsheet for detailed computations.
Answer:
INCORRECT.
In income summary account, all revenue accounts are closed by debiting them and crediting the income summary account. expense accounts are closed by crediting them and debiting income summary account. then on closing income summary account it shows debit balance if there is a net loss and it shows credit balance if there is a net income.
In the given case clever auto services has debit balance of $5,300 i,e it implies that clever auto services has loss .
Therefore above statement is wrong. It implies a loss of $5300 not the net income of $5,300.
Following a budget will help you keep you out of debt if you are currently in debt.
