Answer: The answer is $21.75
Explanation:
The rules says that employees will pay 1.45%, while the employers will pay 1.45% total is 2.9%
The employers will calculate 1.45% of the wages as withholding tax and pay it to the tax authority.
Therefore to calculate the Medicare tax payable for the pay period we use the formula
Wages × Medicare tax rate
Since wages = $1,500.00, Medicare tax rate = 1.45% ( 1.45÷100 = 0.0145)
1,500.00 × 0.0145
= 21.75
Therefore the Medicare tax payable for the pay period is $21.75
Answer:
Journal entries is seen below
1. Interest payment expenses $170,100
To cash $170,100
2. Cash $420,000
To bond payable $420,000
Explanation:
Journal entries with explanations.
1. Interest expenses $170,100
To cash $170,100
(It is recorded being the first interest payment)
The working is as seen below;
= $3,780,000 x 9% x 6 months ÷ 12 months
= $170,100
As per the recording, the interest expense was debited because it increased the expenses while cash is paid which reduced the cash balance hence credited.
2. Cash $ 420,000
To bond payable $420,000
(Being the cash sale of bond that is recorded.)
For the recording, cash was debited as it was received because it increased the cash balance and also credited to bond payable account.
Answer: the employer's defense was a pretext.
Explanation:
Norm providing evidences that him being fired was unfair shows that Norm is attempting to show that the employer's defense was a pretext.
A pretext simply refers to a false reason which covers the true intentions or motives of an employer. In this case, the employer didn't fire Norm because he didn't meet his sales quota but fired him because of his age.
Therefore, all the defense given by the employer shows that his defense was a pretext.
Answer:
The correct answer is: Manufacturers use predetermined overhead rates to allocate to production jobs the production costs that are not directly traceable to specific jobs.
Explanation:
If we are able to trace a cost directly to a product we will not include it in manufacturing overhead. Manufacturing overhead was created to allocate costs that are not directly traceable to a product. It helps manufacturers to allocate costs with certain precision.
Answer:
The tax consequences to Comet because of the stock redemption would be a reduction of $40,000 in E&P because of the exchange.
Explanation:
According to the given data we can conclude that the tax consequences to Comet because of the stock redemption would be Reduction of E& P due to exchange. In order to calculate the amount of Reduction we would have to make the following calculation:
Reduction of E& P due to exchange=Total E&P*Total voting Right Sold
According to the given data we have the following:
Total E&P=Comet has total E&P of $160,000
Total voting Right Sold=shares redeem by comet/shares by Pat+shares by Pam
Total voting Right Sold=50/ (100+100)
Total voting Right Sold=25%
Therefore, Reduction of E& P due to exchange=$160,000*25%
Reduction of E& P due to exchange=$40,000
The tax consequences to Comet because of the stock redemption would be a reduction of $40,000 in E&P because of the exchange.