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4 years ago

G refer to the given data. if your taxable income increases from $4,000 to $5,000, you will encounter a marginal tax rate of:

1 answer:

8 0

The marginal tax rate is simply the tax rate given in the income tax table. For example, if the table says that people who make up to $4999.99 pay a tax of 10% and that people who make more than $4999.99 but less than $10,000 (for example) pay a tax of 20%, then if your income increases from $4,000 to $5,000, the marginal tax rate you encounter would now be 20%. For a better understanding, notice the word marginal. In economics, this means the 'cost of one additional unit' of something. Thus, the marginal tax rate is the tax on 1 additional dollar of income.

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If the economy experiences a recession with a current spending gap $1,000 below full-employment output, and the marginal propens

gtnhenbr [62]

Answer:

Change in Investment (Government Spending) = $200

Explanation:

Multiplier = k =∆Y/∆I = 1/(1-MPC)

Needed ∆Y = $1000 ; MPC = 0.8

1000/ ∆I = 1 / (1-0.8)

1000/∆I = 1 / 0.2

1000/∆I = 5

∆I = 1000/5

∆I = 200

5 0

4 years ago

Nielsen Auto Parts had beginning net fixed assets of $218,470 and ending net fixed assets of $209,411. During the year, assets w

balu736 [363]

Answer:

Capital Expenditure during the year 40,706

Explanation:

opening assets = 218470

less: Depriciation for the year = (42822)

less: Disposal of assets = (6943)

less: Closin Assets = (209411)

Balancing figure additions = 40706

8 0

3 years ago

The following selected transactions were completed by Fasteners Inc. Co., a supplier of buttons and zippers for clothing:

Reil [10]

Answer:

20Y3

Nov. 21 :

Debit Notes receivable $66,000

Credit Accounts receivable $66,000

(To recognize notes receivable iro past due account)

Dec. 31:

Debit Interest revenue $161.33

Credit Interest receivable $161.33

(To record accrued interest on notes receivable)

Jan. 20:

Debit Cash $66,880

Credit Notes receivable $66,000

Credit Interest receivable $880

(To record payment of note and interest on Nov. 21 notes)

Explanation:

Note receivable is a promissory note with a written promise made by the borrower to the lender (payee) to pay a certain, definite sum at a specified date.

Interest revenue on the notes is calculated as: Principal x Interest Rate x Time

In this case, the total interest expense is $66,000 x 8%/12 x 2 months = $880.

Total interest expense to the Company as at December 31 is therefore $880 / 60 days x 11 days = $161.33.

8 0

3 years ago

At the end of the period, the balance left in the factory overhead account is equal to the

katrin2010 [14]

Answer:

d.total factory overhead cost variance.

Explanation:

In manufacturing accounting, at the beginning of the period, manufacturing overheads (i.e. costs other than Direct Material and Direct Labor) has been applied to Work-in-process using a predetermined overhead rate. At the end of the period, if the manufacturing overhead account shows a debit balance, that signifies that overhead has been under-applied (i.e. the manufacturing overhead cost applied to work in process is less than the actual manufacturing overhead cost for the period), and contrariwise if the manufacturing overhead account shows a credit balance, it means the overhead is over-applied (i.e. the manufacturing overhead cost applied to work in process is more than the actual manufacturing overhead cost for the period). In any case this balance warrants an adjustment to close out the books, by transferring it to the cost of goods sold account.

6 0

3 years ago

Firefly Inc. sold land for $225,000 cash. The land had been purchased five years earlier for $275,000. The loss on the sale was

solmaris [256]

Answer:

$225,000

Explanation:

The cash flow statement is divided into three categories investing, operating and financing. The investing activity refers to those activities which deal in buying and selling for long term asset in cash. The buying is cash outflow while the selling is a cash inflow. So the amount reported under the investing activity is $225,000 as cash inflow.

8 0

3 years ago