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kvv77 [185]
3 years ago
9

Mattola Company is giving each of its employees a holiday bonus of $125 on December 16 (a non payday). The company wants each em

ployee's check to be $125. The supplemental tax percent is used. Round your calculations and answers to the nearest cent.
a. What will be the gross amount of each bonus if each employee pays a state income tax of 2.8% (besides the other payroll taxes)?
b. What would the net amount of each bonus check be if the company did not gross-up the bonus?
Business
1 answer:
Anastaziya [24]3 years ago
7 0

Answer:

a. $193.65

b. $80.69

Explanation:

The computation is shown below:

a) The gross amount of each bonud is

= Holiday bonus ÷ (1 - supplemental tax rate - OSADI tax rate - HI rate - state tax rate)

= $125 ÷ (1 - 0.25 - 0.062 - 0.0145 - 0.028)

= $125 ÷ 0.6455

= $193.65

b) Now the Net amount of each bonus check is

= Holiday bonus - (Holiday bonus × supplemental tax rate - Holiday bonus × OSADI tax rate - Holiday bonus ×  HI rate - Holiday bonus × state tax rate)

= $125 - ($125 × 0.25) - ($125 × 0.062) - ($125 × 0.0145) - ($125 × 0.028)

= $125 - $31.25 - $7.75 - $1.8125 - $3.5

= $80.69

Refer to the different tax table rate

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During the year, Kiner Company made an entry to write off a $32,000 uncollectible account. Before this entry was made, the balan
azamat

Answer:

balance in bills receivables account = $364000

Explanation:

given data

write off =  $32000

balance in accounts receivable = $400000

balance in allowance account = $36000

to find out

net realizable value of accounts receivable

solution

we first find credit balance in allowance that is

credit balance in allowance = $36000 - $32000

credit balance in allowance = $4000

and

so here balance in bills receivables account is

balance in bills receivables account =  ( $400000 - $32000 ) - ( $36000 - $32000 )

balance in bills receivables account = $368000 - $4000

balance in bills receivables account = $364000

4 0
3 years ago
Robert invested in stock and received a positive return over a 9-month period. Which of the following types of returns will be g
Anton [14]

Options:

A) Holding period return (HPR)

B) Effective annual return

C) Annual percentage rate

D) There is not enough information to make a definitive choice.

Answer:

Option B is correct.

Effective annual return

Explanation:

Robert invested in stock and received a positive return over a 9-month period then the effective annual return  will be the greatest.

3 0
3 years ago
Ju Li believes that her sales force should sell in a conventional sense by identifying prospective clients, such as the Coffee C
Lady_Fox [76]

Answer:

C. order getter

Explanation:

Based on the information provided within the question it can be said that this type of salesperson is referred to as an order getter. This is the person focuses on identifying potential customers, giving them information about a product/service, and persuades them into buying what he/she is offering in order to close a sale and gain a loyal customer. Which is exactly what Ju Li believes in doing.

7 0
3 years ago
A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows: Year
Anna71 [15]

Answer:

18.49%

Explanation:

The internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested.

The IRR can be calculated using a financial calculator:

Cash flow in year 0 = –$28,500

Cash flow in year 1 = $12,500

Cash flow in year 2 = 15,500

Cash flow for year 3 = $11,500

IRR = 18.49%

To find the IRR using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the IRR button and then press the compute button.

I hope my answer helps you

5 0
3 years ago
Read 2 more answers
Given the true/false statements are true (facts), select the best logical induction made from those statements:
denis23 [38]

The best logical induction that can be made is d. People do and do not like oranges.

<h3>What is logical induction?</h3>

This refers to making a generalization about a population based on individual pieces of information about the population's members.

Betsy and Benjamin like oranges but Jose does not. This means that people can either like or dislike oranges.

Find out more on logical induction at brainly.com/question/2547001

#SPJ1

5 0
2 years ago
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