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3 years ago

Fifo reports higher gross profit and net income than the lifo method when

1 answer:

4 0

FIFO (First in, First Out) reports higher gross profit and net income than the LIFO (Last In, First Out) method when prices are increasing. The FIFO method refers to an inventory system wherein the first items purchased are thought to be sold while the most recent purchases make up the ending inventory. On the other hand, the LIFO method assumes the opposite. The ones sold are the most recent purchases while the earlier purchases are included in the ending inventory.

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An employee earns $6,350 per month working for an employer. The FICA tax rate for Social Security is 6.2% of the first $118,500

Vlad1618 [11]

Answer:

$965.075

Explanation:

Payroll taxes for the month of January is = FICA +FUTA +SUTA+

federal income taxes withheld+voluntary deductions for health insurance +contributes retirement plan.

= (0.0145*6350) +(0.006*6350)+(0.054*6350)+216+184+92

= 92.075+38.1+342.9+216+184+92

= 965.075

$965.075

Some money like Social Security is 6.2% of the first $118,500( not added because he's earnings are not up to $118500 and it's yearly stuff) and unemployment taxe is not added because his earnings is not up to $7000

7 0

2 years ago

A __________ is an example of an external user of financial information.

Alchen [17]

External users are people outside the business entity (organization) who use accounting information. Examples of external users are suppliers, banks, customers, investors, potential investors, and tax authorities.

7 0

3 years ago

Which of the following statements is true? Group of answer choices An explicit cost is an actual cost; an implicit cost is a the

professor190 [17]

Answer:

Economic costs include both explicit costs and implicit costs.

Explanation:

In economics, costs can be in the form of explicit and implicit as implicit costs are opportunity costs and are opportunities for engaging in business. While the explicit costs are accounting costs which are involved in the production of raw matter, wages etc.

7 0

2 years ago

You have the following information on Olivia's Bridle Shop: total liabilities and equity = $65 million, current liabilities = $1

Pepsi [2]

Answer:

Total Fixed Assets = 20 million

Explanation:

Total liabilities and equity = $65 million

Current liabilities = $10 million

Inventory = $15 million

Quick ratio = 3 times.

As we know

Total liabilities and equity = Total Assets

65 Million = Total Fixed Assets + Total Current Assets

65 Million = Total Fixed Assets + 45 million

Total Fixed Assets = 65 million - 45 million

Total Fixed Assets = 20 million

Quick Ratio = ( Total Current Assets - Inventory ) / Total Current Liabilities

3 = ( Total Current Assets - 15 million ) / $10 Million

3 x $10 Million = Total Current Assets - 15 million

30 million = Total Current Assets - 15 million

30 million + 15 million = Total Current Assets

Total Current Assets = 45 Million

8 0

2 years ago

Molly went to the mall and parked her red car under a tree. when she returned to her car a few hours later, only half of the car

sergij07 [2.7K]

Molly's car is no longer fully in the shade due to the sun's movement throughout the day. As the day progresses, the sun will recede into the sky and the car will no longer be entirely in the shade.

6 0

3 years ago