Answer:
d. All of these answer choices are correct.
Explanation:
There are two sections namely debit sections and credit sections. The total of debit and credit sections is always be matched and equaled
The debit sections reports assets and expenses side
whereas, the credit sections reports revenue, stockholder equity, and the liability side.
Moreover, the balances are used to prepare the financial statement i.e income statement, balance sheet, etc
The trail balance is prepared three times i.e non adjusted, adjusted and the post-closing trail balance
Answer: <em><u>16.5% is the average tax rate that will result in a 10 percent increase in tax revenues.</u></em>
Explanation:
This is an example of static forecasting since no time parameter is involved.
Now,
Let initial revenue be "R" ,
"n" be no. of taxpayer
∴ R= 65000×0.15×n
R +0.1R= 65000×rate×n
Using the above two equation, we'll get ;
<u><em>r = 16.5%</em></u>
Answer: To keep the customer base
Explanation: The consumers find it unfair when the firms increase their prices continuously even though there was an increase in demand from the last increase in price.
Although, Customers do not mind when the prices are increased due to an increase in cost to the supplier. Therefore,unnecessary increase in price might result in loss of popularity of the product and further the loss of customer base.
That's the reason why firms do not increase their prices even though it will increase their profits.
Answer:
Explanation:
1. The computation is shown below:
State unemployment = $10,000 × 4.2% = $420
Federal unemployment = $10,000 × 0.8% = $80
2. The journal entry is shown below:
Payroll tax expense A/c Dr $38,975
To Social security tax A/c $30,300 ($505,000 × 6.0%)
To Medicate tax A/c $8,175 ($545,000 × 1.5%)
To State Unemployment tax payable A/c $420
To Federal Unemployment tax payable A/c $80
(Being the payroll tax expense is recorded)
