Why does a business need a marketing plan?

During January, Luxury Cruise Lines incurs employee salaries of $2.4 million. Withholdings in January are $183,600 for the emplo

garri49 [273]

Answer and Explanation:

The journal entry to record the employee salary expense, withholdings, and salaries payable is shown below:

Salaries expense Dr $2,400,000

To Income tax payable ($360,000 + $150,000) $510,000

To FICA tax payable $183,600

To Account payable $24,000

To Salaries payable $1,682,400

(being employee salary expense, withholdings, and salaries payable is recorded)

Here the expenses are debited and payable are credited as it increased the expenses and liabilities

6 0

3 years ago

M2-28. Computing and Comparing Income and Cash Flow MeasuresPenno Corporation recorded service revenues of $200,000 in 2020, of

Zina [86]

Answer:

Explanation:

M2-28. Computing and Comparing Income and Cash Flow MeasuresPenno Corporation recorded service revenues of $200,000 in 2020, of which $170,000 were on credit and $30,000 were for cash. Moreover, of the $170,000 credit sales for 2020, Penno collected $20,000 cash on those receivables before year‑end 2020. The company also paid $25,000 cash for 2020 wages. Its employees also earned another $15,000 in wages for 2020, which were not yet paid at year‑end 2020. (a) Compute the company’s net income for 2020; and (b) how much net cash inflow or outflow did the company generate in 2020? Explain why Penno’s net income and net cash flow differ.

7 0

3 years ago

Suppose the M P C is 0.8 and the current tax rate is 25 % . What is the government purchases multiplier? Specify all answers to

Goryan [66]

Answer:

Therefore, Increases in the tax rate decrease the government purchases multiplier

Explanation:

Given that

MPC = 0.8

Tax rate t = 0.25

tax rate is increases by 35%

Government purchases multiplier

= 1 ÷ 1 - MPC × (1 - t). Here

So, GPM = 1 ÷ 1 - 0.8 × (1 - 0.25) = 2.5

Government purchases multiplier

= 1 ÷ 1 - MPC × (1 - t)

MPC = 0.8

tax rate t = 0.35

GPM = 1 ÷ 1 - 0.8 × (1 - 0.35)

= 2.08333

= 2.083

Therefore, Increases in the tax rate decrease the government purchases multiplier.

3 0

3 years ago

Executive Solutions is a strategy consulting firm. Other than the senior leadership (who manage the firm, but do not actively co

saveliy_v [14]

Answer:

Income(Loss) $960,600;($397,400)

Explanation:

EXECUTIVE SOLUTIONS

Budgeted Income Statement

May June

Revenues:

Managers$1,231,900 $795,400

Staff $3,171,900 $2,250,400

Total revenue (i)$4,403,800 $3,045,800

Expenses:

Manager

compensation$749,300 $749,300

Staff compensation$1,558,400 $1,558,400

Total

compensation (ii)$2,307,700 $2,307,700

SG&A $553,500 $553,500

Depreciation $228,500 $228,500

Marketing $353,500 $353,50

Total

expenses (iii)$1,135,500 $1,135,500

Income(Loss)

(i)-(ii)-(iii) $960,600 ($397,400)

BMay June

Revenues:

Managers

[1,270 hours x $ 970] $1,231,900

[820 hours x $970] $795,400

Staff

[ 6,540hours x $485] $3,171,900

[4,640 hours x $485] $2,250,400

Expenses:

Manager compensation$749,300 $749,300

[2,540 hours x $295]

Staff compensation $1,558,400 $1,558,400

[9,740 hours x $160]

5 0

3 years ago

Suppose Brazil has a comparative advantage in coffee production and Mexico has a comparative advantage in tomato production. If

lawyer [7]

Answer:

The correct answer is A. Brazilian tomato producers are worse off.

Explanation:

A country has a comparative advantage in producing a good and service if its opportunity cost of producing that good and service is lower than that of its trading partner. So it is better off for a country that has a lower opportunity cost in production a good or service to specialise in that good or service.

Brazil has a comparative advantage in coffee production, meaning, it is better off in specialising in the production of coffee and will be worse off if Brazil specialises in Tomato

Mexico has a comparative advantage is Tomato, meaning, she is better off in specialising in Tomato and worse off if she specialises in Coffee

6 0

3 years ago