The difference resulted from $60,000 of nondeductible premiums on Ajax's officers' life insurance and $40,000 of rental income received in advance. Rental income is taxable when received. Ajax's effective tax rate is 30%. In its Year 2 income statement, what amount should Ajax report as income tax expense-current portion? 5.
Question: (TCO 3) The appropriate cost accounting system to use when inventory items are produced on an assembly line is 2. Question: (TCO 3) As production occurs, materials, direct labor, and applied manufacturing overhead are recorded in 3. Question: (TCO 3) “Equivalent units” expresses all activity of the period in terms of 4. Question: (TCO 3) Holly Inc. manufactures dolls. The following data were provided for production results for the current month.
2. Norton Co., a U.S. corporation, sold inventory on December 1, 2011, with payment of 10,000 British pounds to be received in sixty days. The pertinent exchange rates were as follows: For what amount should Sales be credited on December 1? A. $5,500.
What amounts should be considered product and period costs respectively for the first year of coverage? Product Period → $1,176 $504 $3,528 $1,512 $5,040 $0 $2,352 $1,008 Annual insurance expense = $5,040 ÷ 3 = $1,680 Portion applicable to product cost = 0.70 × $1,680 = $1,176 Portion applicable to period cost = 0.30 × $1,680 = $504 Gambarini Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly
Under an income tax rate of 23 percent, you have to earn $130 to spend $100. Spend that same $100 under a sales tax, you pay that same tax of $30, and the rate is quoted as 30 percent.” (Fairtax.org
Part (b) Calculate the seasonal forecast of sales for February of Year 3. Part (c) Which forecast do you think is most accurate and why? 11. Question : (TCO 6) Davis Company is considering two capital investment proposals. Estimates regarding each project are provided below: Project A Project B Initial Investment $800,000 $650,000 Annual Net Income $50,000 45,000 Annual Cash Inflow $220,000 $200,000 Salvage Value $0 $0 Estimated Useful Life 5 years 4 years The company requires a 10% rate of return on all new investments.
Required deductions that are payable by the employee are Social Security tax or FICA at 6.2%, Medicare at 1.45%, and Federal at 8%. Each percentage needs to be multiplied by the employee’s gross pay. Healthcare deductions will be $100 a month for HMO plans and $300 a month for PPO plans. After all the calculations are made they are deducted from the employee’s gross pay leaving the employee’s net pay. I will be paying my employees every two weeks, one the first and fifteenth of each month.
Other costs include repair and maintenance, sales and production expenses. Regular monthly expenses are estimated at $1,415.74 for paying the employee salaries and other regular business expenses. The Business is expected to generate $136,000.00 in the first year and gross profit is expected to be $107,011.20. Customers. There is an average of 1,395,000 tax returns filed in Iowa every year (Average Refund by State).
The accounting department supervisor independently reconciles the accounts receivable subsidiary ledger to the accounts receivable control account monthly. C. The accounting department supervisor controls the mailing of monthly statements to customers and investigates any differences reported by customers. D. The billing department supervisor matches prenumbered shipping documents with entries in the sales journal. AICPA AACSB: Analytic AICPA BB: Critical Thinking AICPA FN: Risk Analysis Bloom's: Application Difficulty: Hard 32. Which of the following internal control activities most likely would assure that all billed sales are correctly posted to the accounts receivable ledger?
Box G7 or Box G18 Activity 5.7 In Activity 5.1 you used the BAS worksheet to complete the quarterly BAS for The Nice Scent Shoppe. Now we will give you some further information for that quarter and you are to complete the BAS Summary report using Option 2 for PAYG income tax instalment. 1. The FBT instalment has been notified as $2400. The firm requires this to be varied to an annual FBT payable of $12 000.