Answer:
Expected value of profit = -3750 + 2,000 + 2,500 + 0
Explanation:
<em>The expected value of is the sum of the possible profit under different outcomes multiplied by their respective probabilities</em>
Profit Prob P× Profit
(15000) × 0.25 = -3750
20,000 × 0.1 = 2,000
25,000 × 0.1 = 2,500
0 × 0.55 = <u> 0_____</u>
Expected value of profit = <u> 750</u>
Expected value of profit = -3750 + 2,000 + 2,500 + 0
= $750
<em>Note the figures given are stated as profits and not revenue. So we do not make use of the investment cost of $20,000</em>
Answer:
$2142.57
Explanation:
-The first step is to calculate the security tax and Medicare tax
If the total earning of Portia grant for the month of January is $8,838 then the security tax and FICA Medicare tax can be calculated as follows
Security tax= 6.2/100×8,838
= 0.062×8,838
= 547.95%
Medicare tax= 1.45/100×8,838
= 0.0145×8,838
= 128.15%
-The next step is to calculate the total amount of taxes
The SUTA and FUTA taxes is the amount of tax that is paid by the owner of the organization and as such they are not included in Portia's earning
If the Federal income tax withheld is $1,466.47 then, the total amount of tax withheld from Portia's earning can be calculated as follows
= 547.95+128.15+1,466.47
= $2142.57
Hence the total amount of taxes withheld from Portia's earning is $2142.57
i would say E) cause that 28 people that work when it was raised to $25
Answer:
c. interest expense of $107,361 and depreciation expense of $89,468.
Explanation:
The computation is shown below
The interest expense on lease is
= 8% of $1,342,016
= $ 107,361
ANd, the depreciation expense is
= (present value of lease payments at the closing of 10 years) - (salvage value) ÷ life of the asset
= ($1,342,016 - $0) ÷ 15 years
= $89,468
Hence, the option c is correct
