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2 years ago

1. Do you think it is a good idea to have employers withhold

Business

1 answer:

Alina [70]2 years ago

5 0

Answer:

No,

Explanation:

The tax withholding system is something that most of us take for granted, but the concerned citizens, politicians and economists who have analyzed it have many criticisms of the system.

Taxpayers have no idea how much they pay and are apathetic about tax rates

If taxpayers had to make one large payment, they would know exactly how much they were forking over for federal taxes, Social Security taxes, Medicare taxes and state taxes. Since the money is taken gradually, many people never pay attention to the full amount, which makes it easier for high tax rates to persist and for the government to increase tax rates. For example, the state of California in 2009 decided to use the tax withholding system to take a large, interest-free loan from its taxpayers. It increased the withholding tax by 10%, and even journalists didn't seem to notice until the days before the rate hike was implemented. The government says it will refund the borrowed money in April.

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A city government is considering two types of town-dump sanitary systems. Design A requires an initial outlay of $405 comma 00

SIZIF [17.4K]

Answer:

Desing A is a better deal as the equivalent annual cost is lower than desing B

Anywa, bot desing cost are above the city collections thus, it cannot afford the sanitary systems unless it raises taxes

Explanation:

<em><u>Desing A </u></em>

F0 405,000

operating and maintenance cost 51,000 for 14 years

Present value of the operating and maintenance cost:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C = $ 51,000.00

time = 14 years

rate = 0.07

$51000 \times \frac{1-(1+0.07)^{-14} }{0.07} = PV\\$

PV $446,018.8673

net worth: $ 851,081.87

equivalent annual cost:

$PV \div \frac{1-(1+r)^{-time} }{rate} = C\\$

PV 851,082

time 14

rate 0.07

$851081.87 \div \frac{1-(1+0.07)^{-14} }{0.07} = C\\$

C $ 97,316.904

<u><em>Desing B</em></u>

F0 251,000

operating and maintenance cost 89,000 for 14 years

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 89,000.00

time 14

rate 0.07

$89000 \times \frac{1-(1+0.07)^{-14} }{0.07} = PV\\$

PV $778,346.6507

net worth: $ 1,029,346.65

equivalent annual cost:

$1029346.65 \div \frac{1-(1+0.07)^{-14} }{0.07} = C\\$

C $ 117,700.580

5 0

3 years ago

During the first month of operations ended July 31, Western Creations Company produced 80,000 designer cowboy hats, of which 72,

bulgar [2K]

Answer:

Western Creations Company

1. Income Statements for July and August, under absorption costing:

July August

Sales Revenue $4,320,000.00 $4,320,000.00

Cost of goods sold 3,240,000.00 2,649,600.00

Gross profit $1,080,000.00 $1,670,400.00

Total selling & admin. exp. $169,000.00 $169,000.00

Net Income $911,000.00 $1,501,400.00

2. Income Statements for July and August, using variable costing:

July August

Sales Revenue $4,320,000.00 $4,320,000.00

Variable cost of goods sold 3,081,600.00 2,491,200.00

Contribution margin $1,238,400.00 $1,828,800.00

Fixed expenses:

Total fixed costs 345,000.00 345,000.00

Net income $893,400.00 $1,483,800.00

3a. The reason for the differences in the amount of the income from operations in in (1) and (2) for July is the cost of goods sold based on full manufacturing costs for (1) while only variable costs are considered for (2).

3b. The reason for the differences in the amount of the income from operations in (1) and (2) for August is also the cost of goods sold based on full manufacturing costs for (1) while only variable costs are considered for (2).

Explanation:

a) Data and Calculations:

Number of hats produced = 80,000

Number of hats sold = 72,000

Ending inventory = 8,000

1 Sales $4,320,000.00

2 Manufacturing costs: July August

3 Direct materials $1,600,000.00 $1,280,000.00

4 Direct labor 1,440,000.00 1,152,000.00

5 Variable manufacturing cost 240,000.00 192,000.00

6 Fixed manufacturing cost 320,000.00 320,000.00

Total manufacturing costs $3,600,000.00 $2,944,000.00

Under absorption costing:

Unit cost = $45 ($3,600,000/80,000) $36.80 ($2,944,000/80,000)

Cost of goods sold = $3,240,000 ($45*72,000) $2,649,600 (36.8*72,000)

Ending Inventory = 360,000 ($45*8,000) 294,400 ($36.8*8,000)

7 Selling and administrative expenses:

8 Variable $144,000.00 $144,000.00

9 Fixed 25,000.00 25,000.00

Total selling & admin. exp. $169,000.00 $169,000.00

Under variable costing:

2 Manufacturing costs:

3 Direct materials $1,600,000.00 $1,280,000.00

4 Direct labor 1,440,000.00 1,152,000.00

5 Variable manufacturing cost 240,000.00 192,000.00

8 Variable selling & admin cost 144,000.00 144,000.00

Total variable costs = $3,424,000.00 $2,768,000.00

Unit variable cost = $42.80 ($3,424,000/80,000) $34.60

Cost of goods sold = $3,081,600 ($42.80 * 72,000) $2,491,200

Ending Inventory = 342,400 ($42.80 * 8,000) 276,800

6 Fixed manufacturing cost $320,000.00 $320,000.00

9 Fixed selling & admin. cost 25,000.00 25,000.00

Total fixed costs = $345,000.00 $345,000.00

7 0

3 years ago

In which situation would an employer be required to pay overtime?

madreJ [45]

Situations in which an employer would be required to pay overtime are:

A salaried employee works on a Saturday

A salaried employee works on a federal holiday

Explanation:

Overtime payments are required b the law to pay to a firm when they make their employees work over the permissible limit of work or hat is allowed int he job contract as the work limit for the company.

The concept is introduced for salaried workers as the work for a salary for the month and not on the hourly basis.

They are to be paid whenever they are made to work over whatever is in their contract which includes Saturday for most workers who do not have an off then and also on federal holidays invariably.

3 0

3 years ago

a company purchased supplies for cash, which will be consumed during future months. which of the following correctly describes t

harina [27]

The answer choice that correctly describes the impact of the supplies purchase on the financial statements is A. total assets will remain unchanged.

<h3>What is an Asset? </h3>

This refers to financial property owned by a company or individual that has some degree of value.

Hence, we can see that given the fact that a company purchased supplies for cash that would be used in a few months, this would leave the total assets unchanged.