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TiliK225 [7]
3 years ago
12

An employee has enrolled in his company's nonqualified deferred compensation plan. The benefit paid at the time of the employee'

s retirement is:_______.
A) taxable as ordinary income to the employee and can be taken as a deduction by the employer.
B) taxable as ordinary income to the employee with no benefit allowed to the employer.
Business
1 answer:
OLga [1]3 years ago
4 0

Answer:

A) taxable as ordinary income to the employee and can be taken as a deduction by the employer.

Explanation:

When an employee defers to receive the compensation plan he gets the benefit of lower tax bracket each year, ultimately decreasing his tax liability.

Further when he receives the complete amount his income stands taxable. Accordingly at that time ordinary tax rates as per FICA are applicable.

On the employers part it is only deductible when the employee includes it in the income of the year, and pays tax on such compensation received.

Thus, when he receives it as compensation on retirement it is normally taxable at ordinary rates to the employee and deduction can be claimed by the employer.

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Campbell Corporation uses the retail method to value its inventory. The following information is available for the year 2021: Co
valentinak56 [21]

Answer:

Estimated ending inventory at retail $335,000

Estimated ending inventory at cost $251,250

Explanation:

Calculation to determine the December 31, 2021, inventory by applying the conventional retail method using the information provided

COST RETAIL

Merchandise inventory, January 1, 2021

$290,000 $ 290,000

Purchases $622,000 $920,000

Freight-in 18,000 $0

Net markups$0 30,000

Total $930,000 $1,240,000

Less Net markdowns $0 $5,000

Goods available for sale $930,000 $1,235,000

($930,000-$0=$930,000)

($1,240,000-$5,000=$1,235,000)

Cost-to-retail percentage 75%

($930,000/$1,235,000)

Less Net sales $0 $900,000

Estimated ending inventory at retail $335,000

($1,235,000-$900,000)

Estimated ending inventory at cost $251,250

($335,000 x 75%)

Therefore the December 31, 2021, inventory by applying the conventional retail method using the information provided will be:

Estimated ending inventory at retail $335,000

Estimated ending inventory at cost $251,250

3 0
2 years ago
Companies that successfully implement customer relationship management (CRM) tend to: a. customize the goods and services offere
Zolol [24]

Answer:

a. customize the goods and services offered to their customers.

Explanation:

Customer relationship management refers to the technology, principles, policies, considerations, and principles applied by businesses to ensure the satisfaction of their customers. The ultimate purpose of customer relationship management is to meet the needs of the customers, thus making them happy and satisfied.

When an organization customizes the goods and services offered to their customers, they are offering a personalized buying experience that would make the customers happy. They would also have a sense of belonging and the feeling of being recognized. The result might translate to increased sales.

6 0
3 years ago
The Revenue Reconciliation Act of 1993 modified the 1986 passive loss restrictions by allowing individuals who materially partic
solong [7]

Answer:

The answer is "50%"

Explanation:

Modify the state budget Act of 1974 to boost the FY in 1994 and 1995. It is the maximum federal debt quantity and also to set these other quantities for FY 1996 to 1998. Repudiates in the 1994 and 1995 boundaries on consumption spending.

In the Act of 1993, it modifies the 1986 active losses restrictions so, that it allowed rental damages from other revenues to also be deducted from persons who significantly participated such rental properties.  

The person may allocate 50% to his time towards services rendered throughout a tax year from the business.

4 0
3 years ago
If a check correctly written and paid by the bank for $408 is incorrectly recorded on the company's books for $480, the appropri
vodka [1.7K]

Answer:

The correct answer is add $72 to the book's balance.

Explanation:

Bank reconciliation is a way of identifying discrepancies between the cash book balance (company's books) and the bank balance (balance per bank statement). The discrepancies can be as a result of erroneous posting, deposit in transit, outstanding checks, etc.

In the instance of the question, there was an erroneous posting in the cash book of $72 ($480 - $408). Instead of crediting cash book by $408, it was rather credited by $480 - meaning that the credit was overstated by $72. <em>To correct this erroneous posting, we have to add back $72 to the cash book balance.</em>

8 0
3 years ago
Describe in your own word the three types of leadership.
Nat2105 [25]

Answer:

it's a u're welcome

Explanation:

u're welcome ♥️hope you enjoyed

6 0
2 years ago
Read 2 more answers
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