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3 years ago

Match the different categories of income to the calculation used to derive them.

Business

2 answers:

zhuklara [117]3 years ago

5 0

Answer:

Adjusted Gross Pay=Gross pay – deductions

Taxable income=Adjusted Gross pay-tax

Disposable income=taxable income- taxes

Savings=Disposable income-personal spending

Explanation:

Kisachek [45]3 years ago

3 0

Answer

Adjusted Gross Pay=Gross pay – deductions (blank)

Taxable income=Adjusted Gross pay-tax (blank)

Disposable income=taxable income- taxes (blank)

Savings=Disposable income-personal spending (blank)

Explanation

Adjusted gross income (AGI) is the individual income subtracting the deductions. To calculate the AGI we first start with finding the gross income which is a reflection of all the income a person receives over the course of a year. This step will be followed by subtracting the adjustments made such as student loan payments and contribution. This will leave you with the adjusted gross income.

Taxable income is the amount remaining after subtracting the deductions and claiming exemptions from your adjusted gross income. It is used to find the amount of money a person /firm owes to the government in a particular tax year. It is calculated as all your incomes reduced by expenses and other deductions.

Disposable income is money available for usage and saving in a household after subtracting the income taxes. It is also called your net pay. Disposable income is an indicator of the economy in that, it determines consumer spending and determines the demand of goods and services acquired at various prices and a particular time period.

The money left over from the salary after paying government taxes can be spent or saved.When you subtract your spending from the disposable income, you get the savings that a person keeps for future use or investments. Personal savings are calculated by subtracting your personal consumption from the personal disposable income.

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Using the expanded accounting equation, calculate and enter the answers for each question. You will need to use the answers you

Bas_tet [7]

Solution:

Answer for 1. and 2. :

Particulars Assets liabilities owner's equity

Beginning capital 29000 16000 13000

Ending capital 63000 29000 34000

3. Beginning capital 13000

add new stock 5500

Add : Income ?

Sub total ?

Less: Dividend 36700

Closing Capital 34000

By inserting the last two numbers of the sentence you will determine the "Subtotal." : 36700+34000 = 70700

We learn from the top of the document that the equity of the investor at the outset was $13,000 and the shareholding of $5500 was released. Therefore, when calculating net income, we have $18,500.

Now , Net income =70700-18500=$ 52,200

4. Closing Capital+Dividend =Common stock +net income

=34000+8100

=Common stock +1000

Then common stock = $ 41,100

5. Closing Capital + Dividend = Opening capital +Common stock issued +net income

34000+dividend =13000+16700+18000

Dividend = $13700

6. Closing Capital + Dividend = Opening capital +Common stock issued +net income

=34000+1600 =13000+41100+ net income or loss

Net loss=$ 18500

Expanded accounting Equation for a corporation is :

Assets = Liabilities + Paid-in Capital + Revenues – Expenses – Dividends – Treasury Stock

4 0

3 years ago

Jamison Company developed the following reconciling information in preparing its June bank reconciliation: Cash balance per bank

Alex787 [66]

Answer:

c. $15,065

Explanation:

In bank reconciliation the book balance is adjusted using some adjustments made by the the bank and still pending by the business. We make an adjusted balance of cash book balance and bank statement balance to reconcile the amounts.

Cash balance per book 6/30 $13,000

+ Note receivable $4,000

- Bank charges $35

- NSF check $1,900

Adjusted Cash book balance $15,065

Note receivable is received in the bank but not been recorded by the business. It will be added to the balance because it will increase the balance.

Bank charges are deducted by the bank but not been recorded by the business it will be deducted.

NSF check have already added by the balance but its not been cleared. So it needs to be deducted form the Book balance.

3 0

3 years ago

At December 31, 2018, Oriole Company reported the following information on its balance sheet.

drek231 [11]

Answer:

Bad debt expense (Dr.) $68,930

Allowance for Doubtful Debt (Cr.) $68,930

Explanation:

Accounts Receivable :

Balance $948,000

Add: Sales $3,609,930

Less: Sales returns $51,000

Less: Collections $2,756,000

Less: Write offs $97,000

Add: Recovery of old Bad debts $28,000

Adjusted Balance $1,653,930

Bad Debts :

Balance $78,000

Less: Allowance for doubtful debts $97,000

Less: Recovery $28,000

Adjusted Balance $9,000

7 0

3 years ago

Alternative Financing Plans Frey Co. is considering the following alternative financing plans: Plan 1 Plan 2 Issue 10% bonds (at

Alja [10]

Answer:

1st Plan Earning per Share $ 1.80

2nd Plan Earning per Share $ 2.30

The Second Plan provides better earnings per share.

Explanation:

1st Plan:

Income before Interest and taxes 1,008,000

Bonds Payable Interest: (144,000)

Income before taxes 864,000

Income tax expense (345,600)

Net Income 518,400

Quantity of Common Stock:

$ 1,440,000 / $5 = 288,000

Earing per share:

518,400 / 288,000 = $1.80

2nd Plan:

Income before Interest and taxes 1,008,000

Bonds Payable Interest: (72,000)

Income before taxes 936,000

Income tax expense (374,400)

Net Income 561,600

Preferred Shares Dividends (120,000)

Available for common stock 441,600

Quantity of preferred Stock:

$1,200,000 / $10 =120,000 shares

Dividends on Preferred Shares:

120,000 x $1 = 120,000

Quantity of Common Stock:

$ 960,000 / $5 = 192,000

Earing per share:

441,600 / 192,000 = $2.30

3 0

3 years ago

The existence of different age groups within a company's target markets is referred to as

PolarNik [594]

Answer:

multigenerationalism.

Explanation:

Multigenerationalism is the term used to describe Marketing to different generations.

Only a few products will appeal to all age groups. A company will develop a variety of products to attract diverse age groups. A Single product firm or one with few products may differentiate its goods or services to appeal to a wider target. Multigenerationalism exists when a business has different age groups in its target market.

5 0

3 years ago