1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
azamat
4 years ago
7

Jorgensen High Tech Inc. is a calendar-year, accrual-method taxpayer. At the end of year 1, Jorgensen accrued and deducted the f

ollowing bonuses for certain employees for financial accounting purposes.
$40,000 for Ken.
$30,000 for Jayne.
$20,000 for Jill.
$10,000 for Justin.
Required:
1. How much of the accrued bonuses can Jorgensen deduct in year 1 under the following alternative scenarios?
a. Jorgense paid the bonuses to the employees on March 1 of year 2.
b. Jorgense paid the bonuses to the employees on April 1 of year 2.
Business
1 answer:
MA_775_DIABLO [31]4 years ago
4 0

Solution:

a. Jorgensen paid the bonuses to the employees on March 1 of year 2.

                                      Year 1         Year 2

Ken                                40,000

Jayne                            30,000

Jill                                  20,000

Justin                             10,000

Total                             100,000

100,000 could be withheld if they had been compensated by two and a half months of the end of the year.

b. Jorgensen paid the bonuses to the employees on April 1 of year 2.

                                        Year 1         Year 2

Ken                                40,000

Jayne                             30,000

Jill                                  20,000

Justin                               10,000

Total                             100,000

Can subtract 100,000 in year 2 because it has not been charged within 2 1⁄2 months of the end of the year.

You might be interested in
P. Daves Inc's stock is currently sells for $45 per share. The stock's dividend is projected to increase at a constant rate of 4
Svetllana [295]

Answer:

The price of the stock six years from now will be $56.94

Explanation:

To calculate the price of a stock that pays a dividend which grows at a constant rate forever, we use the constant growth model of DDM. The current price of stock using the constant growth model is calculated as follows,

P0 = D1 / r - g

As, we don't know the D1, that is dividend expected for the next year, we will calculate it first,

45 = D1 /  (0.12 - 0.04)

45 * (0.12-0.04)  =  D1

45 * (0.08) = D1

3.6 = D1

We use the D1 to calculate the price today. Thus, we will use D7 to calculate the price six years from now.

D7 = D1 * (1+g)^6

P6 = 3.6 * (1+0.04)^6  /  (0.12 - 0.04)

P6 = $56.939 rounded off to $56.94

8 0
3 years ago
Read 2 more answers
According to Butner (2011), performance optimization concept is described as a multi-enterprise, supply demand balancing solutio
grin007 [14]

Answer:Segregate events across the end-to-end value chain related to customers, distribution, manufacturing, and multi-tiered supply.

Explanation: Performance optimization is a term used to describe the various changes and modifications made to a business in order to ensure that the performance meets the required set levels.

According to Burner(2011)the Segregation of events across the end-to-end value chain related to customers, distribution, manufacturing, and multi-tiered supply is not one of the core features of performance optimization.

8 0
4 years ago
Atlas Company provided the following information for last year: Operating income $ 92,000 Sales 235,000 Beginning operating asse
STALIN [3.7K]

Answer: 0.22

Explanation: Return on total assets is calculated by dividing net income or operating income from average total assets. It is a profitability ratio which is used by analysts to evaluate the ability of the firm to generate revenue from the given level of assets it have.

=\:\frac{operating\:income}{Average\:total\:assets}

where,

Average\:total\:assets=\frac{410,000+\:440,000}{2}

= $425,000

Now,putting the values into equation :-

=\:\frac{92,000}{425,000}

= 0.22

8 0
3 years ago
Marcy's mother, Sue, did not want her to date until she was older. She also wanted Marcy to attend law school. Just before Marcy
KATRIN_1 [288]

Answer:

<u>B) No, there was insufficient consideration because Sue did not promise anything in exchange</u>

Explanation:

Remember, in law for there to be consideration there must be something of value (between the parties concerned, which is exchanged for the performance or promise of performance by the other party (such performance itself is consideration).

Thus, it could be said that Marcy's agreement to throw a party for Sue lacked insufficient consideration since there was no stated value because Sue did not promise anything in exchange.

3 0
3 years ago
When prices rise what happens to income
aliya0001 [1]

the answer is "it buys less"

3 0
3 years ago
Other questions:
  • Determine the amount to be paid in full settlement of each invoice, assuming that credit for returns and allowances was received
    15·1 answer
  • Kite Corporation has provided the following contribution format income statement. Assume that the following information is withi
    14·1 answer
  • Toys R Fun purchased $4,000 of merchandise and paid immediately. To record this transaction, Toys R Fun's accountant would debit
    11·1 answer
  • A firm plans to make investments of $5,000 for the next 10 years, paying the amount at the end of each year. this form of paymen
    8·1 answer
  • Is esports better than sports? Explain?
    6·1 answer
  • You are a lawyer representing a client who lost their $1 million home in a house fire. They are suing the home’s architect as de
    5·1 answer
  • Determine the ending balances in Accounts Receivable and Allowance for Doubtful Accounts.
    6·1 answer
  • Smith Industries manufactures a popular interactive stuffed animal for children that requires two computer chips inside each toy
    13·1 answer
  • How good are we in business?
    10·2 answers
  • Which one of the following is the best example of public investment
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!