Supply a reason for a decline in the balance of the current account

In need of extra cash, Troy and Lily decide to withdraw $2 comma 100 from their traditional IRA. They are both 40 years old. T

krek1111 [17]

Answer:

Calculate the tax consequence of withdrawal from retirement account.

T and L are 40 years old and decide to withdraw $2,100 from their IRA. They lie in a 35% marginal tax bracket.

Analysis

They are withdrawing some amount from their retirement fund. They have to pay the tax and penalty for early withdrawals from the retirement fund. The withdrawal amount is $2,100 so they have to pay tax on it. The tax rate will be 35% which is their marginal tax bracket.

Calculation of tax consequences if withdrawal amount is $2,100:

Ordinary income tax amount calculates by multiplying the withdrawal amount with the ordinary tax rate.

= $2100 × 35%

= $735

The withdrawal amount attracts the 10% penalty. So, the penalty amount is calculated as follows: Penalty on withdrawn funds calculates by multiplying the withdrawn funds with the percentage of penalty.

= $2100 × 10%

= $210

(NOTE: - T and L have to pay ordinary income tax along with the penalty on their withdrawal because they are withdrawing funds from their IRA before age 59.5.)

Total expenses include the tax amount and penalty charge on withdrawal amount. So, it is calculated as follows:

Total expenses =$735 + $210

Total expenses = $945

Conclusion

Therefore, T and L would incur a tax of $945 on their withdrawal. This $945 is the sum of income tax amount and penalty on withdrawal balance.

8 0

2 years ago

Mention three barriers to interpersonal communication and how to overcome them

yawa3891 [41]

Explanation:

Empathy,
linguistic and
cultural barriers.

Barriers to interpersonal communication can result from specific situations and personal differences that contribute to making the communication process more difficult.

However, it is possible to identify and overcome them. In the case of barriers of empathy, they can occur when there is no intention of understanding a certain situation that an individual is sharing with another individual, which may imply resistance in the listener that makes communication difficult , to overcome it, there must be greater understanding on both sides, greater respect and ethics on both sides.

In linguistic and cultural barriers it is necessary that individuals are willing to respect different values and cultures, acting with ethics and respect. When there is a need to communicate with people of different nationalities, as in a multicultural work environment for example, language barriers must be minimized with the learning of a common language, such as English for example.

6 0

2 years ago

Sabrina Duncan had gross earnings for the pay period ending 10/15/16 of $5,835. Her total gross earnings as of 9/30/16 were $104

ivann1987 [24]

Answer:

option (A) $212.97

Explanation:

Data provided in the question:

Gross earnings for the pay period ending 10/15/16 = $5,835

Total gross earnings as of 9/30/16 = $104,400

Social Security tax rate = 6.2%

Now,

Total earnings

= Gross earnings for the pay period ending 10/15/16 + Total gross earnings as of 9/30/16

= $5,835 + $104,400

= $110,235

since,The Social Security taxes are on a maximum earnings of $106,800 per year

therefore,

Sabrina's Social Security withheld from her 10/15/16 paycheck will be

= ( Total earnings - $106,800 ) × Social Security tax rate

= ( $110,235 - $106,800 ) × 0.062

= $3,435 × 0.062

= $212.97

Hence,

The answer is option (A) $212.97

7 0

3 years ago

Creating a Multimedia Presentation

zysi [14]

Wheres the question ??

5 0

1 year ago

Wheeler’s Bike Company manufactures custom racing bicycles. The company uses a job order cost system to determine the cost of ea

Elan Coil [88]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Estimated overhead costs:

Factory machinery depreciation 59,000

Factory supervisor salaries 140,500

Factory supplies 43,900

Factory property tax 27,750

Total overhead= 271,150

1)

First, we need to determine the estimated direct labor hours for the period:

Factory direct labor= 215,558

Direct labor rate= $12.11

Direct labor hours= 215,558/ 12.11= 17,800 hours

Now, we can calculate the estimated overhead rate:

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 271,150/17,800= $15.23 per direct labor hour

2) To apply overhead, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 15.23*18,900= $287,847

6 0

3 years ago

Supply a reason for a decline in the balance of the current account​

Supply a reason for a decline in the balance of the current account