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4 years ago

Jurisdiction M imposes an individual income tax based on the following schedule.

Business

1 answer:

labwork [276]4 years ago

8 0

Answer:

D) Both A. and B. are true.

A) The schedule provides no information as to whether Jurisdiction M's tax is horizontally equitable.
B) Jurisdiction M's tax is vertically equitable.

Explanation:

When we are talking about horizontal equity of a tax, we are talking about how the tax base is measured and the ability that taxpayers have to pay the tax. There is nothing here about tax base or taxpayers' ability to pay.

On the other hand, vertical equity deals with the tax rate structure. In this case, the tax rate is progressive, meaning that it increases as the taxpayers' income increases. Progressive taxes are vertically equitable.

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Pina Company began operations on January 2, 2019. It employs 10 individuals who work 8-hour days and are paid hourly. Each emplo

Andrew [12]

Answer:

2019

Dr Salaries and wages expense 9,680

Cr Salaries and wages payable 9,680

Dr Salaries and wages expense 6,160

Cr Salaries and wages payable 6,160

Dr Salaries and Wages Payable 3,520

Cr Cash 3,520

2020

Dr Salaries and wages expense 10,560

Cr Salaries and wages payable 10,560

Dr Salaries and wages expense 6,720

Cr Salaries and wages payable 6,720

Dr Salaries and wages expense

800

Dr Salaries and wages payable 8,800

Cr Cash 9,600

Dr Salaries and Wages Expense 240

Dr Salaries and Wages Payable 5,520

Cr Cash 5,760

B. 2019 $10,410

2020 $12,175

Explanation:

(a) Preparation of journal entries to record transactions related to compensated absences during 2019 and 2020

2019

Dr Salaries and wages expense 9,680

Cr Salaries and wages payable 9,680

(10 employees * $11.00/hr. * 8 hrs./day * 11 days)

(Being to record accrue expense and liability for vacation)

Dr Salaries and wages expense 6,160

(10 employees * $11.00/hr. * 8 hrs./day * 7days)

Cr Salaries and wages payable 6,160

(Being to record accrue expense and liability for sick pay)

Dr Salaries and Wages Payable 3,520

Cr Cash 3,520

(10 employees * $11.00/hr. * 8 hrs./day*4 days)

2020

Dr Salaries and wages expense 10,560

(10 employees * $12/.00/hr. * 8 hrs./day * 11 days)

Cr Salaries and wages payable 10,560

(Being to accrue expense and liability for vacation)

Dr Salaries and wages expense 6,720

Cr Salaries and wages payable 6,720

(10 employees * $12.00/hr. * 8 hrs./day * 7 days)

(Being to record accrue expense and liability for sick pay)

Dr Salaries and wages expense

800

(9,600-800)

Dr Salaries and wages payable 8,800

(10 employees * $11.00/hr. X 8 hrs./day *10days)

Cr Cash 9,600

(10 employees * $12.00/hr. * 8 hrs./day X 10days)

(Being to record vacation time period))

Dr Salaries and Wages Expense 240

(10 employees * ($11-12) /hr. * 8 hrs./day * (7-4) last yr)

Dr Salaries and Wages Payable 5,520

(10 employees * $11.00/hr. * 8 hrs./day * (7-4) days) + (10 employees * $12.00/hr. * 8 hrs./day *(6-3) days)

=(2,640+2,880=5520)

Cr Cash 5,760

(10 employees * $12.00/hr. * 8 hrs./day * 6 days)

(Being to record sick leave paid)

B) Computation for the amounts of any liability for compensated absences that should be reported on the balance sheet at December 31, 2019, and 2020

1. December 31, 2019

10 employees * $11.83/hr. * 8 hrs./day * 11 days =$10,410

2. December 31, 2020

10 employees * $11.83/hr. * 8 hrs./day * 1 day =$946

Add: 10 employees * $12.76/hr. * 8 hrs./day * 11 days = 11,229

Total $12,175

($11,229+$946)

Therefore the amounts of any liability for compensated absences that should be reported on the balance sheet at December 31, 2019 will be $10,410 and 2020 will be $12,175

5 0

3 years ago

you are a consultant to a firm evaluating an expansion of its current business. The cash flow forecasts (in millions of dollar)

timama [110]

Question

you are a consultant to a firm evaluating an expansion of its current business. The cash flow forecasts (in millions of dollar) for the project as follows:

Year cashflow

0 -100

1-10 15

0n the basis of the behavior of the firm's stock, you believe that the beta of the firm is 1.30. Assuming that the rate of return available on risk-free investments is 5% and that the expected rate of return on the market portfolio is 15% what is the net present value of the project

Answer:

NPV= -$32.58

Explanation:

The net present value of the investment is the cash inflow from the investment discounted at required rate of return. The required rate of return can be determined using the the formula below:

Ke= Rf +β(Rm-Rf)

Ke =? , Rf- 5%,, Rm-15%, β- 1.30

Ke=5% + 1.30× (15-5)= 18%

The NPV = Present value of cash inflow - initial cost

= A×(1-(1+r)^(-10)/r - initial cost

A- 15, r-18%

NPV = 15× (1-1.18^(-10)/0.18 - 100= -32.58

NPV = -$32.58

5 0

3 years ago

Harrison Enterprises currently produces 8,000 units of part B13. Current unit costs for part B13 are as follows: Direct material

Yakvenalex [24]

Answer:

It is cheaper to make the part in house.

Explanation:

Giving the following information:

Harrison Enterprises currently produces 8,000 units of part B13.

Current unit costs for part B13 are as follows:

Direct materials $12

Direct labor 9

Factory rent 7

Administrative costs 10

General factory overhead (allocated) 7

Total $45

If Harrison decides to buy part B13, 50% of the administrative costs would be avoided.

To calculate whether it is better to make the par in-house or buy, we need to determine which costs are unavoidable.

Unavoidable costs:

Factory rent= 7

Administrative costs= 5

General factory overhead= 7

Total= 17

Now, we can calculate the unitary cost of making the product in-house:

Unitary cost= direct material + direct labor + avoidable administrative costs

Unitary cost= 7 + 5 + 5= $17

It is cheaper to make the part in house.

3 0

3 years ago

Best Ever Toys just paid its annual dividend of $1.78 per share. The required return is 10.6 percent and the dividend growth rat

lianna [129]

Answer: $20.44

Explanation:

From the question given, we are informed that Best Ever Toys just paid its annual dividend of $1.78 per share and that the required return is 10.6% and the dividend growth rate is 1.23%, then the expected value of this stock five years from now will be:

= [$1.78 × (1 + 1.23%)^6] / (10.6% - 1.23%)

= (1.78 × 1.0123^6)/(10.6% - 1.23%)

= 20.44

The expected value of the stock is $20.44

5 0

3 years ago

A _____ is an integrated collection of data that can include seemingly unrelated information, no matter where it is stored in th

Deffense [45]

A data warehouse is an integrated collection of data that can include seemingly unrelated information, no matter where it is stored in the company.

An enterprise data warehouse (EDW), sometimes referred to as a data warehouse (DW or DWH) in computing, is a system used for reporting and data analysis and is regarded as a key element of business intelligence.

data warehouse DWs serve as a central repository for combined data from a variety of sources.

They keep both recent and old data in a single location that is utilized to provide analytical reports for employees across the whole company.

The operational systems upload the data that is kept in the warehouse (such as marketing or sales).

Before being used in the data warehouse for reporting, the data may go via operational data storage and require data cleansing for extra activities to ensure data quality.

Learn more about the data warehouse here:

brainly.com/question/14615286?

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8 0

2 years ago