The following journal entry will be passed in the books of accounts and the interest expense is calculated to an amount of $9600
<u>Explanation:</u>
Given data:
amount of note: $200000, annual principal payments to be made each year at December 31st = $40000, interest amount to be charged = 6 percent, duration of note = 5 years
the following calculation is made in order to find out the amount of interest:
Amount of note minus principal payment multiply with rate of interest
now, putting the figures in formula:
interest = 200000 minus 40000 = $160000 multiply with .06 = $9600
Thus, the interest amount = $9600
The interest expense will be debited with an amount of $9600 in the books of accounts.
Answer:
b. it expects that this will increase sales and profits
Explanation:
Answer:
B
Explanation:
the knowledge.. between a Bachelor degree and an associate degree. is leser
The main activity of a producer cooperative is B. MARKETING PRODUCTS FOR ITS MEMBERS.
They market products for its members because each income earned is for the benefit of its members. The producer cooperative is formed to give individual members the chance to have access to machinery and discounts that they would not have been able to get if they remained solo. As a group, their accessibility to machinery and discount is greater.
Answer:
A. $1,054.00
B. $ 450.00
Explanation:
Calculation to Determine the unemployment taxes (FUTA and SUTA) that would be paid by each company.
Calculation for Rowland Construction Company unemployment taxes for (FUTA and SUTA)
FUTA tax $7,000 × 0.006
FUTA tax = $42.00
SUTA tax $22,000 × 0.046
SUTA tax = $1,012.00
Hence,
Unemployment taxes=FUTA tax+SUTA tax
Let plug in the formula
Unemployment taxes=$42.00+$1,012.00
Unemployment taxes= $1,054.00
Therefore Rowland Construction Company unemployment taxes for (FUTA and SUTA) will be $1,054.00
b.
Calculation for Ford Improvement Company unemployment taxes for (FUTA and SUTA)
FUTA tax $7,000 × 0.006
FUTA tax = $ 42.00
SUTA tax $8,000 × 0.051
SUTA tax = 408.00
Hence,
Unemployment taxes=FUTA tax+SUTA tax
Let plug in the formula
Unemployment taxes=$42.00+$408.00
Unemployment taxes= $450.00
Therefore Rowland Construction Company unemployment taxes for (FUTA and SUTA) will be $450.00
Take note that FUTA tax amount for both is $7,000 while the tax rate 0.006
