Answer:
1. Which of the excluded items represent ongoing costs of running the business and which are one-time "special" costs?
it depends on the company and the actual transactions, e.g. equity based compensation might be a one time special cost because it occurred only once and is doubtful that it happens again. But if the company regularly rewards its top managers with this type of compensation, then it is an ongoing cost. E.g. Tesla awarded a HHHHUUUUUUGGGGGGGEEEEEEE bonus to Elon Musk (worth hundreds of millions) but it was a one time event. While many companies use equity compensation on a regular basis.
Severance and related employee "rebalancing" costs generally take place when a company fires a lot of people because it is cutting down some division or product line. Hopefully, they should never happen, and if they do, it should be only a one time event.
Fees paid to consultants and interest expenses are ongoing costs that will probably occur in the future.
Losses related to the abandonment of excess facility space and a facility fire should be one time events. It would be really bad for them to keep happening (same as severance and rebalancing costs)
The correct answer to this open question is the following.
Although there are no options attached, we can say the following.
What I would do is to allow employees to select the vendors and products to sell. However, for this action to be successful, I would establish clear criteria to be followed by employees so they can select from that criteria what the can and can't offer.
I think a certain degree of autonomy is important for the employee to be better involved in the selling of products. It is like taking into consideration its skill and abilities and let them use them in the workplace. But as I wrote above, employees have to have some parameters in which they can decide the best option. Those parameters will be approved by top management.
Answer:
a. $ 10,410
Explanation:
Balance per books $ 10,500
Less: NSF Checks $ ( 110)
Add: Interest earned <u>$ 20</u>
Adjusted balance per books $ 10,410
The NSF checks is reduced from the book balance as the books would have included it as a positive balance.
The interest earned has to be added to the book balance as this information would have not been available with the book.
The outstanding checks represent checks issued by the company and thus would already have been recorded in the books.
the deposits in transit would also have been recorded in the books.
Answer:
The answer is 12.9 percent
Explanation:
This question will be solved using the Dividend Discount Model. It is one of the valuation methods used in valuing price of Equity/stock.
Po = D1/r - g
Po is the current worth of stocks
D1 is the next dividend paid
r is the rate of return
g is the growth rate
$43 = $2.12/ r - 0.08
43r - 3.44 = 2.12
43r = 5.56
r = 5.56/43
=0.129
Expressed as a percentage:
12.9 percent
Answer:
debit to Payroll Tax Expense for $44990
Explanation:
The journal entry is as follows
Payroll Tax Expense A/c Dr. $44,990
To FICA taxes withheld $25,610
To Federal unemployment taxes $2,680
To State unemployment taxes $16,700
(Being the accrual of employer’s payroll taxes is recorded)
For computing the payroll tax expense we simply added the FICA taxes withheld, federal unemployment taxes, and the state unemployment taxes
