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3 years ago

Following errors occurred in posting from a two-column journal:

Business

1 answer:

Ierofanga [76]3 years ago

8 0

Answer:

A credit of $7,240 to Accounts Payable was not posted.

a. Yes b. $7,240

An entry debiting Accounts Receivable and crediting Fees Earned for $9,300 was not posted.

a. No

A debit of $1,250 to Accounts Payable was posted as a credit.

a. Yes b. $1,250

A debit of $1,030 to Supplies was posted twice.

a. Yes b. $1,030

A debit of $1,700 to Cash was posted to Miscellaneous Expense.

a Yes b. $1,700

A credit of $270 to Cash was posted as $720.

a. Yes b. $450

A debit of $4,720 to Wages Expense was posted as $4,270.

b. Yes b. $450

Explanation:

A trial balance is a list of balances extracted fron the ledger accounts prepared as at the reporting date.

If the Totals of the Debit and Credit equal, then on the face of it, it is arithmetically correct.

This means the that the following errors are not detected by the trial balance : Error of Omission, Error of Commission, Error of Principle, Error of Complete Reversal of Entries, Error of Original Entry and Compensation Error.

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Gabriele Enterprises has bonds on the market making annual payments, with eight years to maturity, a par value of $1,000, and se

iVinArrow [24]

Answer:

Coupon rate = 5.8%

Explanation:

The price of a bond is the present value (PV) of the future cash flows discounted at its yield.

So we will need to work back to ascertain the coupon rate

Step 1

Calculate the PV of redemption value and PV of interest payments

PV of Redemption

= 1.067^(-5) × 1000

=723.06

PV of the annual interest rate

= price of the bond - PV of redemption

= $964- 723.06

= 240.934

Step 2

Calculate the interest payment

Interest payment = PV of redemption value / annuity factor

Annuity factor =( 1 -(1+r)^(-n) )/r

Annuity factor at 6.7% for 5 years

Factor =( 1-1.067^(-5) )/0.067

= 4.1333

Interest payment = PV of the annual interest rate / Annuity factor

Interest payment=

=240.93/4.1333

=58.290

Step 3

Calculate the coupon rate

Coupon rate = interest payment/ par value

Coupon rate = (58.290/1000) × 100

= 5.8%

Coupon rate = 5.8%

4 0

3 years ago

Jim Smith is a salesman who receives a $1,100 draw per week against his commission. He receives a 12% commission as an incentive

blondinia [14]

Answer:

$29,000

Explanation:

Given that:

Draw per week: $1,100
Commission rate: 12%
Sales for Jim were $205,000 for the month.
4 weeks in a month

Assuming a four-week month, Jim's commission :

Commission on revenue + commission of total draws

= $205,000*12% + 4*$1,100

= $24,600+ $4,400

= $29,000

Hope it will find you well.

3 0

3 years ago

Marc and Michelle are married and earned salaries this year of $64,000 and $12,000, respectively. In addition to their salaries,

stiks02 [169]

Answer:

I will use the 2020 tax schedule since recovery rebate credit applies to 2020:

Marc and Michelle's gross income = Marc's and Michelle's salaries + interest from corporate bonds = $64,000 + $12,000 + $500 = $76,500

they should choose the standard deduction since it is higher than their itemized deductions = ($24,400)

contribution to IRA = ($2,500)

alimony payment = ($1,500) the divorce agreement was settled on 2005

Marc and Michelle's taxable income = $48,100

Marc and Michelle's tax liability = $1,975 + [12% x ($48,100 - $19,750)] = $5,377

Interests on municipal bonds is not taxable.

The amount of taxes that they owe = $5,377 - $3,500 (federal tax withholdings) = $1,877

Refundable tax credits:

$2,000 in child tax credit

$2,900 in recovery rebate credit

total = $4,900

taxes payable or refund = tax liability - refundable tax credits = $1,877 - $4,900 = -$3,023.

Marc and Michelle should get a refund for $3,023

4 0

3 years ago

Calculate Social Security taxes, Medicare taxes, and FIT for Jordon Barrett. He earns a monthly salary of $11,300. He is single

FromTheMoon [43]

Answer:

1) social security taxes = (accumulated earnings - social security maximum) x 6.2% = ($139,370 - $128,070) x 6.2% = $700.60

2) medicare taxes = monthly earnings x 1.45% = $11,300 x 1.45% = $163.85

3) in order to calculate federal income taxes, I used the 2019 tables and allowance:

2019 allowance = $350 per person

monthly paycheck between $7,333 - $13,710

must withhold $1,198.46 plus 24% in excess of $7,333

federal income taxes under percentage method = $11,300 - $350 (1 monthly allowance 2019) = $10,950

$1,198.46 + [($10,950 - $7,333) x 24%] = $1,198.46 + $868.08 = $2,066.54

For 2020, there are no more personal allowances.

8 0

3 years ago

Until August 1971, industrialized countries around the world maintained a fixed exchange rate of their currencies with the US do

Alona [7]

Answer:

Explanation:

A forward exchange rate is the quoted price for a unit of foreign currency to be delivered at a specified date in the future.

The government sets a fixed exchange rate that is allowed to fluctuate only slightly (if at all) around the par value.

When American customers import more from Europe than they export to Europe, the euro appreciate relative to the dollar.

The depreciation or appreciation of a currency refers to a decrease or increase, respectively, in the foreign exchange value of a floating currency.

Under a managed floating regime, the government plays a significant role in managing the exchange rate by manipulating the currency's supply and demand.

Currencies under such a regime are nonconvertible currencies.

8 0

3 years ago

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