Answer:
The cost of underestimating the expenses is $240.
Explanation:
A flexible benefits program can be described as a spending plan in which an employee agrees to a lower cash compensation when the employer has also agreed to pay some costs which the employer can pay without the need for the employee to recognize gross income. Therefore, the medical expenses of the employee for the next year will be estimated by the employee and he or she will accept a deduction equal to the estimated expenses from his or her salary.
From the question, the following are given:
Amount put into flexible benefits account by Rosa = $4,000
Rosa's Actual expenses = $5,000
Marginal tax rate = 24%
Therefore, we have:
Amount by which the account is underestimated by Rosa = Rosa's Actual expenses - Amount put into flexible benefits account by Rosa = $5,000 - $4,000 = $1,000
Rosa's cost of underestimating the expenses = Amount by which the account is underestimated by Rosa * Marginal tax rate = $1,000 * 24% = $240
Therefore, the cost of underestimating the expenses is $240.
Answer and Explanation:
The accounting principles and the suggestions are shown below:
a. Business Entity Concept:
In this given situation, the amount of $500 should be refunded to the business or it can be recognized as the withdrawal amount by Cathy Miller. The suggestion is that She should use a personal check for paying daycare in the future for her son
b. Going Concern Concept:
Since the business is closed for month-long vacation in the month of June. As Cathy's Antiques is not closing the business for permanent. As she plans for reopening on July 1. The suggestion is that she should hold an inventory decline sale or for other relevant sales.
c. Monetary Unit Concept:
The invoice should be restated in the united states for the purpose of accounting
d. Revenue Recognition Concept:
The revenue should be recognized when it is realized or earned. As the table is not delivered so the revenue should not be recognized.
The amount of $1,500 should be recorded for an account like deposits received from the customers until the delivering of the table is not done
Answer: $42.93
Explanation:
To solve this question goes thus:
Year 1:
Cash flow = $2.50
PV at 10% = 0.9091
Present value = $2.27
Year 2:
Cash flow = $2.70
PV at 10% = 0.8264
Present value = $2.23
Year 3:
Cash flow = $2.92
PV at 10% = 0.7513
Present value = $2.19
Price at Year 3:
Cash flow = $48.23
PV at 10% = 0.7513
Present value = $36.24
Price to be paid = $2.27 + $2.23 + $2.19 + $36.24 = $42.93
Answer: B! Contributions equalling free money
Explanation: A.PEX
1. Find a good business idea
A good business idea isn’t just one that turns a profit. It’s one that’s a good fit for you personally, for your target market, and for your location. You’re going to be in business for the long haul, so you really should pick something you can live and breathe.
<span><span>Identify your strengths and weaknesses <span>Conduct a SWOT analysis<span> on yourself </span></span></span><span><span>Come up with a business idea </span>that caters to your strengths </span><span><span>How to start inventing things </span>(or how to find something to invent)</span>Define what success looks like for you <span><span>Do your research: </span><span>What are popular businesses today?</span></span></span>
