Answer:
ASRC advertising self regulatory council
Answer:
A. $2,325
B. $2,325
C. $0; $1,715
D. $598.5
Explanation:
A. Calculation to determine the amount of the travel costs can Melissa deduct as business expenses
Round trip airfare $610
Conference registration fees $385
3 nights lodging $1,005
($335*3)
Meals $150
(300*50%)
Cab fare $175
Total deduction $2,325
Therefore the amount of the travel costs can Melissa deduct as business expenses will be $2,325
b. Calculation to determine What amount of the travel costs can Melissa deduct as business expenses
Based on the information given the amount of the TRAVEL COSTS that Melissa can deduct as BUSINESS EXPENSES will still be $2,325.
Round trip airfare $610
Conference registration fees $385
3 nights lodging $1,005
($335*3)
Meals $150
(300*50%)
Cab fare $175
Total deduction $2,325
c. Calculation to determine What amount of the airfare can Melissa deduct as a business expense
Based on the information given Airfare will NOT BE DEDUCTIBLE
Hence;
Total Airfare deductible = $0
Total expenses deductible = $2,325 - $610
Total expenses deductible = $1,715
d. Calculation to determine the amount of the travel costs can Melissa deduct as business expense
Registration fee $385
Mileage $43.5
($75*0.58)
Parking $170
Total deductible $598.5
Therefore the amount of the travel costs that Melissa can deduct as business expense is $598.5
If Martin and Beasley switched from its current accounting method to an activity-based costing system, the amount of administrative cost chargeable to consulting services would change by an amount other than those listed above
Option D
Solution:
Total amount of administrative cost chargeable to consulting services in ABC costing is given below
( $200000 x 35% ) + ( $50000 x 30% ) + ( $20000 x 20% )
= $70000 + $15000 + $4000
= $89000
Hence, Using ABC costing administrative cost chargeable to consulting services decreases by ($270000 - $89000)
decreases by $181000
Hence, D. change by an amount other than those listed above.
