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egoroff_w [7]
3 years ago
8

For 2019, Eric is a self-employed financial consultant. During the current year, Eric's net self-employment income is $132,150.

The OASDI rate is 6.2%; the MHI rate is 1.45%. Hint: OASDI 6.2% tax is on the first $132,900 for the year. Note: Round all calculations to the nearest cent. What is Eric's self-employment tax?
Business
1 answer:
Alex Ar [27]3 years ago
3 0

Answer:

The Eric's self-employment tax is $10109

Explanation:

The computation of the Eric's self employment tax is shown below:

= Net Self employment income × OASDI  tax rate +  Net Self employment income × MHI tax rate

= $132,150 × 6.2% + $132,150 × 1.45%

= $8,193.30 + $1,916.175

= $10109.475

The OASDI tax rate is also called social security tax and the self employment tax comprises of OASDI tax and MHI tax.

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Which of the following price bases is mostly likely to be used for commercial construction projects or custom-made equipment?
Svet_ta [14]

Answer:

b. cost-plus pricing

Explanation:

cost-plus pricing is a price base that involves a markup addition to the cost of services and goods to get to the final selling price. In this technique you compute all cost (material, labor, etc) and then add a percentage in order to obtain the product's price

4 0
3 years ago
Sole Occhiali Group, an Italian company that sells sunglasses, reported Net Sales of $181,000 and Cost of Goods Sold of $59,500.
Burka [1]

Answer:

<h2>The gross profits of Sole Occhiali Group and Candy Electronics Corp. are 67.13% and 26.66% respectively.</h2>

Explanation:

In Business Studies and Accounting,Gross Profit percentage is calculated by subtracting the cost of goods sold from the net sales revenue and then dividing the result by net sales revenue and finally multiplying the entire expression with hundred.Here,the net sales revenue of Sole Occhiali Group is given as $181,000 and the costs of goods sold is $59,500 and for Candy Electronics Corp. they are $39,000 and $28,600 respectively.

Hence,gross profit percentage for Sole Occhiali Group=(\frac{181,000-59,500}{181,000})\times 100=(\frac{121,500}{181,000})\times 100=(0.6713\times 100)=67.13% approximately

Now,gross profit for Candy Electronics Corp.=(\frac{39,000-28,600}{39,000})\times 100=(\frac{10,400}{39,000})\times 100=(0.2666\times 100)=26.66% approximately

6 0
3 years ago
Matt and Meg Comer are married and file a joint tax return. They do not have any children. Matt works as a history professor at
oksano4ka [1.4K]

Answer:

Explanation:

Given that:

Matt and Meg Comer are married, file a joint tax return and do not have any children.

The total salary of Matt and Meg = $64,700 + $34,000 = $98,700

The net short capital gain = Short-term capital gains - Short-term capital losses

The net short capital gain =  $9,200 - $2,200 = $7,000

The net Long term capital gains = Long-term capital gains - Long-term capital losses

The net Long term capital gains = $15,390 - $6,390 = $9000

The Adjusted gross income AGI = Total Salary + net short capital gain + net Long term capital gains

The Adjusted gross income AGI = $98,700 + $7,000 +  $9000

The Adjusted gross income AGI = $114700

The Taxable income = Adjusted gross income AGI - Standard deduction

The Taxable income = $114700 - $24,400

The Taxable income = $90,300

The net taxable income = Taxable income - less preferentially taxed income

The net taxable income =  $90,300 - $9000

The net taxable income =  $81,300

For 2019:

Tax Liability = $9086 + ($81,300 - $78,950) × 22%    

Tax Liability = $9086 + ($2,350)  × 0.22

Tax Liability = $9086 + $517

Tax Liability = $9,603

The long-term capital gain for 2019 = $9,000 ×  15%    (since it is between  15% - 37% ordinary income tax range, it may be taxed as 15%)

The long-term capital gain for 2019 = $9,000 ×  0.15

The long-term capital gain for 2019 = $1350

Therefore;  the Comers’ tax liability for 2019 if they report the following capital gains and losses for the year is:

Tax Liability  + The long-term capital gain for 2019

= $9,603 + $1350

= $10953

b.

The total salary of Matt and Meg = $64,700 + $34,000 = $98,700

The net short capital gain = Short-term capital gains - Short-term capital losses

The net short capital gain =  $1,500 - $0 = $1,500

The net Long term capital gains = Long-term capital gains - Long-term capital losses

The net Long term capital gains = $10,500 - $10,200 = $300

The Adjusted gross income AGI = Total Salary + net short capital gain + net Long term capital gains

The Adjusted gross income AGI = $98,700 + $1,500 +  $300

The Adjusted gross income AGI = $100,500

The Taxable income = Adjusted gross income AGI - Standard deduction

The Taxable income = $100500 - $24,400

The Taxable income = $76,100

The net taxable income = Taxable income - less preferentially taxed income

The net taxable income =  $76,100 - $300

The net taxable income =  $75,800

For 2019:

Tax Liability = $1940 + ($75,800 - $19,400) × 12%

Tax Liability = $1940 + ($56400)  × 0.12

Tax Liability = $1940 + $6768

Tax Liability = $8,708

The long-term capital gain for 2019 = $3,190 ×  0%        (since it is in 10% - 15% ordinary income tax range)

The long-term capital gain for 2019 = $0

Therefore;  the Comers’ tax liability for 2019 if they report the following capital gains and losses for the year is:

Tax Liability  + The long-term capital gain for 2019

= $8,708 + $0

= $8708

5 0
3 years ago
Which of the following describes the mission of an organization? a. Who are we? Who will we become? b. What do we stand for and
Llana [10]

Answer:

a. Who are we? Who will we become?

Explanation:

In Business management, a strategy can be defined as a set of guiding principles, actions and decisions that an organization combines so as to achieve its business goals, attract customers and possess a competitive advantage over its rivals in the industry.

Business strategy sets the overall direction for the business because it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan. The components of a business strategy includes the following;

I. Value.

II. Vision.

III. Mission.

A mission statement is typically a description of the overall goal or purpose for which an organization was established and what it hopes to achieve in the future.

Hence, the question of Who are we? and Who will we become? describes the mission of an organization.

6 0
3 years ago
If 10,000 units which were 50% completed are in process at November 1, 90,000 units were completed during November, and 20,000 w
kakasveta [241]

Answer:

False

Total equivalent units    89,000 units

Explanation:

<em>Equivalent units are notional whole units which represent incomplete work and are used to apportion cost between work progress and completed work. These units are determined as follows:  </em>

Equivalent units = Degree of work done(%) × units of inventory

Item                                          unit                                    Equivalent unit

Opening inventory            10,000    50% ×  10,000                 5000

Fully worked unit                  80,000     100%× 80,000              80,000

Closing inventory              20,000       20% × 20,000              <u>4,000</u>

Total equivalent units                                                              <u> 89,000</u>

<u />

<u>Notes:</u>

<em>1. Fully work represent units started and completed in the same period. They exclude the opening inventory.</em>

<em>Fully worked = 90000- 10,000 =80,000.</em>

<em>2. Note also at that the degree of completion</em> for opening inventory is the simply the balance of work remaining to be done.

<em>For example, for materials, 50% of work has been done on the opening inventory in the last period, hence the balance of 50% would be done this period </em>

6 0
3 years ago
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