Answer: 1009.75
Explanation:
Computation of Net Pay
Hourly wage 30 × 46. = 1380
Excess hours 30×1/2×(46-40) =90
Total Gross =1470
Less:
Income Tax 350
Social Security ta 1470×6%. 88.2
Medicare tax 1470×1.5% 22.05
Net Pay 1009.75
Hence Option B is correct.
Answer:
i believe the answer is TRUE
Explanation:
Answer:
Annual equivalent cost of the investment = $30,603.43 per annum
Explanation:
<em>Equivalent Annual cost is the Present Value of the total cost over the investment period divided by the appropriate annuity factor.</em>
<em>Step 1 </em>
<em>PV of cash flows</em>
PV of first cost = 150,000
<em>PV of annual maintenance cost of $17,500</em>
= 17,500× (1-(1+0.08)^(-30))/0.08
= 197,011.21
<em>PV of salvage value</em>
$25,000 × (1+0.08)^(-30)
= 2,484.43
<em>PV of net total cost </em>
= 197,011.21 +150,000 - 2,484.43
= 344,526.78
Step 2
<em>Determine the annuity factor for 30 years at 8%</em>
(1-(1+0.08)^(-30))/0.08
=11.2577
Step 3
<em>Equivalent annual cost</em>
= 344,526.78 / 11.2577
<em> =$30,603.43</em>
Annual equivalent cost of the investment = $30,603.43 per annum
Answer:
(A) Rate earned on stockholder's equity=15%
(B) Rate earned on common stockhloder's equity= 16%
Explanation:
A company reports the following profitability analysis
Net income of $375,000
Preferred dividend of $75,000
Average stockhloder's equity of $2,500,000
Average common stockhloder's equity of $1,875,000
(A) The rate earned on stockholder's equity can be calculated as follows
= Net income/Average stockholders equity
= $375,000/$2,500,000
= 0.15×100
= 15%
(B) The rate earned on common stock holder's equity can be calculated as follows
= Net income-Preferred dividend/Average common equity
= $375,000-$75,000/$1,875,000
= $300,000/$1,875,000
= 0.16×100
= 16%
Hence the rate earned on stockholder's equity and common stockhloder's equity is 15% and 16% respectively.