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Sloan [31]
3 years ago
12

The payroll register of Ruggerio Co. indicates $10,500 of social security withheld and $2,625 of Medicare tax withheld on total

salaries of $175,000 for the period. Earnings of $30,000 are subject to state and federal unemployment compensation taxes at the federal rate of 0.6% and the state rate of 5.4%. On December 31, provide the journal entry to record the payroll tax expense for the period.
Business
2 answers:
Anna [14]3 years ago
6 0

Answer:

From the information provided

Federal rate tax of earnings = 30000 × 0.6%

= 30000 × 0.006

= 180

State rate tax of earnings = 30000 × 5.4%

= 30000 × 0.054

= 1620

Medicare taxes = 2625

Social security taxes = 10500

Total payroll tax expenses = Medicare taxes + social security taxes + state rate tax on earnings + federal rate tax on earnings

= 10500 + 2625 + 180 +1620

= $ 14925

THUS,

JOURNAL ENTRY

___Accounts_______Debit ($)____Credit ($)

Payroll Tax Expense__ 14925

Social Security Payable___________ 10,500

Medicare Payable________________2625

FUTA Payable ___________________180

SUTA Payable ___________________1620

Helga [31]3 years ago
6 0

Answer:

DR: Payroll Tax Expense 14925

CR: Social Security Payable 10,500

CR: Medicare Payable. 2625

CR: FUTA Payable 180

CR: SUTA Payable 1620

Explanation:

DR: Payroll Tax Expense 14925

CR: Social Security Payable 10,500

CR: Medicare Payable. 2625

CR: FUTA Payable(30,000×0.006) 180

CR: SUTA Payable(30,000×0.054) 1620

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. Based on the following data, Accounts payable…………………………………………………..... $62,000 Accounts receivable…………………………………………………. 100,000
Temka [501]

Answer:  $428,000

Explanation:

Given that,

Accounts payable = $62,000

Accounts receivable = 100,000

Cash = 30,000

Inventory = 138,000

Land = 160,000

Common Stock = 200,000

Revenue = 80,000

Dividends = 56,000

Expenses = 40,000

Total assets = Accounts receivable + Cash + Inventory + Land

                     = 100,000 + 30,000 +  138,000 + 160,000

                     = $428,000

3 0
4 years ago
On May 20, White Repair Service extended an offer of $108,000 for land that had been priced for sale at $140,000. On May 30, Whi
Masteriza [31]

Answer:

A

Explanation:

In this question, we are asked at what value should the land be recorded in White Repair services records.

Technically, the value of land is to be recorded as purchase price plus improvements.

Generally, what we mean by improvements include such fees such as attorney fees. Looking at the question, we cannot find any of the entries that speaks about payment yo an attorney or any general land issue. This means that we only record the value of the land as purchase price only.

Looking at the question, the purchase price is the accepted seller’s counter offer. This value is $115,000. Hence, it is the value at which the land would be recorded in White repair service records

8 0
4 years ago
A company wishes to hedge its exposure to a new fuel whose price changes have a 0.6 correlation with gasoline futures price chan
Anton [14]

Answer:

0.9; 100 million; 90 million; 2,143

Explanation:

The new fuel's price change has a standard deviation that is 50% greater than price changes in gasoline futures prices.

So, if standard deviation of future prices is taken as '1' then for spot price it will be 50% higher, i.e 1.5

The hedge ratio:

= Correlation × (standard deviation of spot price ÷ Standard deviation of future prices)

= 0.6 × (1.5 ÷ 1)

= 0.9

The company has an exposure of 100 million gallons of the new fuel.

Gallons in future gasoline:

= Hedge ratio × 100 million gallons of the new fuel

= 0.9 × 100

= 90 million

Each contract is on 42,000 gallons, then

Number of gasoline futures contracts should be traded:

= 90,000,000 ÷ 42,000

= 2,142.9 or 2,143

5 0
3 years ago
"Development of society means the transformation of society." Elucidate it by giving examples .​
Nostrana [21]

Answer:

Development of society means transformation of the societies structure and its relations. For there to be a development in a society, its structure has to be changed.

Explanation:

Development of society means transformation of the societies structure and its relations. For there to be a development in a society, its structure has to be changed.

Over the years, various rules and regulations restricting the activities of people living in society have been made. Some of these regulations have been positive while some negative. This has lead to various society transformation like from simple to complex, unity to diversity, uncivilization to civilization and primitive and so on.

For there to be development they have to be transformation.

6 0
3 years ago
A CEO wants to make the argument that his company should put policies and structures in place to ensure adherence to the highest
forsale [732]

Answer:

the three options are valid:

  • Most consumers would prefer to buy products made by a company that demonstrates ethical behavior.
  • Research has shown a correlation between organizations' commitment to ethics and profitability.
  • Employees prefer to work for highly ethical organizations.

Explanation:

According to Accenture Strategy’s Global Consumer Pulse Research, the vast majority of consumers care about corporate actions and ethics, i.e. what the corporation says it does compared to what it really does. Also, the vast majority of consumers  prefer to purchase products from ethical corporations. This is true not only because a research study says so, it is something logical.

Several researches have shown that higher corporate social responsibility results in higher profits. Basically the reasons for this correlation are the same ones as the previous statement's.

Employees, specially younger ones (40 years old and less) tend to be very concerned about working for ethical organizations and many are committed to improving ethical standards.

Information flows freely nowadays, and things that corporations could "hide" in the past, are made seen by millions in just a few minutes. Corporations aren't becoming ethical and green because they want to, they are doing so because consumers demand it.  

3 0
4 years ago
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