Joe makes $15 per hour and works 40 hours per week. 30-year mortgage interest rate of 6.25% and a monthly payment of $439.00 15-year mortgage interest rate of 5.25% and a monthly payment of $575.00 Down payment: 5% minimum Taxes last year were $375. Insurance is $250 per year. What you are looking for: 1. Can Joe afford the monthly payments with taxes and insurance for either a 30 or 15 year mortgage?
All sales are made on account at $20 per unit. Sixty percent of the sales are collected in the month of sale; the remaining 40% are collected in the following month. Forecasted sales for the first five months of 20X2 are: January, 1,500 units,- February, 1,600 units; March, 1,800 units; April, 2,000 units; May, 2,100 units. 2. Management wants to maintain the finished goods inventory at 30% of the following month's sales.
A company has 2 employees. The company's total salaries for the month of January were $8,000. The federal income tax rate for both employees is 15%. The FICA–social security tax is 6.2% and the FICA–Medicare tax is 1.45%. Calculate the amount of employee taxes withheld and prepare the company's journal entry to accrue the January salaries expense and withholding of January taxes.
FIN- 515: Managerial Finance Homework 2: Chapter 3 Problems: (3-1) Days Sales Outstanding: Greene Sisters has a DSO of 20 days. The company’s average daily sales are $20,000. What is the level of its accounts receivable? Assume there are 365 days in a year. DSO = Receivables / Ave. sales per day Receivables= DSO * Ave. sales per day = 20 * 20,000 Receivables= $400,000 (3-2) Debt Ratio: Vigo Vacations has an equity multiplier of 2.5.
The company completed 45,000 units during the month, and 3,000 units were in process at the end of November. The units in ending Work in Process were 85 percent complete with respect to materials and 45 percent complete with respect to conversion costs. a. Calculate the cost per equivalent unit for materials and conversion costs. b.
a. APR is 15%; the actual interest rate is 16.08% b. APR is 16.08%; the actual interest rate is 15% c. APR is 18%;the actual interest rate is 19.56% d. APR is 19.56%; the actual interest rate is18% 2. You are comparing two annuities which offer monthly payments of $500 for ten years and pay 0.5% interest per month. Annuity A will pay you on the first day of each month while annuity B will pay you on the last day of each month. Which following statementsareCORRECT
11. A worker earns $2,000 per month before taxes. He pays $140 per month payroll tax on those wages. In addition, the income taxes on those wages are $360 per month. On retirement, the worker receives a Social Security pension of $750 per month.
Amy paid the full amount of property tax of $2,500. Calculate both Paul and Amy’s allowable deductions for the property tax. Assume a 365 day year. Paul lived at the property for 90 days from January 1 to April 1, than Amy lived there for 275 days from April 2 to December 31. Paul is eligible for a deduction of $616 of the property tax (2500*365/90) = 616.43.
A company leases a machine on January 1, Year One for five years which call for annual payments of $4,000 for the first year and then $10,000 per year after that. The present value of these payments based on a reasonable interest rate of 10 percent is assumed to be $38,000. This lease
The parent receives annual dividends from the subsidiary of $2,500,000. If the parent's marginal tax rate is 34% and if the exclusion on intercompany dividends is 70%, what is the effective tax rate on the intercompany dividends, and how much net dividends are received? Question 20 New York Waste (NYW) is considering refunding a $50,000,000, annual payment, 14% coupon, 30-year bond issue that was issued 5 years ago. It has been amortizing $3 million of flotation costs on these bonds over their 30-year life. The company could sell a new issue of 25-year bonds at an annual interest rate of 11.67% in today's market.