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Payroll Accounting Analyzing and Journalizing Payroll Transactions

The employees of Donnelly Music Company earned a total wages $4,690 during January. The total amount is taxable under FICA, FUTA, and SUTA. The state contribution rate for the company is 3.6%. The amount withheld for federal income taxes is $685. Journalize the payments of the monthly wages, and record the payroll taxes.

Corporate Tax/Partnerships

Lincoln, inc., Washington, inc, and Adams, inc. form presidential suites partnership on Feb. 15 2010. Now, presidential suites must adopt its required tax year-end. The partners year-ends, profits interts and capital interest are reflected below. Given this information, what tax year-end must Presidential Suites use and what rul

Corporate tax/S Corporations

XYZ Corp.(an S Corp) is owned by Jane and Rebecca who each 50% shareholders. At the beginning of the year, Jane's basis in her XYZ stock was 40,000. XYZ reported the following information for 2010: Sales revenue: 730,000, COGS (200,000), Long-term capital gain 8,000, Dividend income 5,000, tax-exempt interest 3,000, salary of

Three Economics Questions

Chapter 15 question 14 What are some of the Limitations of the national income accounts in how they represent our standard of living? Chapter 16 question 5 Why is frictional unemployment important to have in any economy? Chapter 16 question 6 Explain why hyperinflation has such a devastating impact on economies.

Forensic accounting business valuation approaches

Many forensic accountants work on business valuation engagements. There are three basic approaches to valuing a business, the income approach, the cost approach, and the market approach. Please take a moment to discuss each of these methods of business valuation.

Payroll Accounting Analyzing and Journalizing payroll transaction for Cal Ruther

Cal Ruther, an employer, is subject to FICA taxes, but exempt from FUTA and SUTA taxes. During the last quarter of the year, his employees earned monthly wages of $8,500, all of which is taxable. The amount of federal income taxes each month is $1,040. Journalize the payments of wages, and record the payroll tax on November 30.

Product costs: Components of unit products under absorption vs variable costing

Your CFO attended an industry trade show and looked forward to sitting through one of the seminars offered that was titled "Why is it so important to know your product's costs?" Unfortunately, she missed this seminar. This is a very important topic that you plan to discuss with her yourself. Prepare notes for your meeting w

Intel Corporation: variable costing or absorption costing?

Intel Corporation is the world's largest manufacturer of computer processor chips. The Company's manufacturing processes are highly automated, so most manufacturing costs are fixed. You can access the company's most recent annual report in the Investor Relations section of its web site www.intel.com. Its most recent operating in

Two Methods of Costing Employed

Describe at least two method of costing employed by the Tyco International. (If you are unable to locate specific information on-line, feel free to infer, as long as you discuss the approach in sufficient detail). Was this approach adequate, or did it contribute in any way to the firm's subsequent problems (financial scandal)?

Goal of not for profit organization. Return on investment in landscaping business

1. The main goal of all businesses is to make profit. How do the not-for-profit organizations set their goal? 2. If you were going to start your own business in a service industry such as a Landscaping business, what type of return on investment would you expect after the first year? What about for the second year? Please ju

Tax Questions... Multiple Choice

1. For federal tax purposes, royalty income not derived in the ordinary course of a business is classified as: Active income Portfolio income Passive income None of the above 2. Which of the following is not an example of a nontaxable like-kind exchange? An ice cream making machine for

Singular Corp.: Return on Assets

See the attached file. 1 . Singular Corp. has the following income statement data: 2006 2007 Sales $ 500,000 $ 700,000 Gross profit 161,300 205,000 Selling and administrative expense 45,200

Treatment of Intangible Assets

It has been argued on the grounds of conservatism that all intangible assets should be written off immediately after acquisition. Discuss the accounting arguments against this treatment.

International Accounting Standards Board (IASB) relationship to the FASB

Write a paper describing the relationship between the IASB and the FASB. Include the following in your paper: o A brief history of the relationship between the two boards and the IASB equivalents of the FASB original pronouncements o An explanation of how the MSA program prepares the student for a professional life wi

Primary objectives of accounting: role as an accountant

You have been asked to speak at a career fair for high school students in your home town. Specifically, you are making a presentation about your role as an accountant. * Describe for the students the primary objectives of accounting. * Explain the basic terminology of the accounting process or financial reporting.

Journal Entries and Treasury Stock Transactions

See the attached file. A company reported the following stockholders' equity on January 1 of the current year: Common stock, $10 par, 1,000,000 shares authorized, 400,000 shares issued ------------------------- $4,000,000 Paid- in capital in excess of par, common------------------- 1,200,000 Retained earnings---------

Indirect methods to reconstruct income

Please read and give your thoughts on this. The use of indirect methods to reconstruct income by the IRS is limited by Code Sec. 7602(e), which prohibits financial status or economic reality techniques to determine the existence of unreported income unless there is another reasonable indication of unreported income. Forensic

Cash Transaction Account Analysis for Certain Tax Filers

Please read and give your thoughts on this. For an individual who files a Schedule C or F with their Form 1040, it is possible to prepare a cash transaction account analysis to determine the understatement of income. A cash transaction account analysis is an analysis of all of the cash received by the individual and all of th

IRS Net Worth Method to Estimate Income

The net worth method is an indirect balance sheet approach to estimating an individual's true income. To use the net worth method it is necessary to calculate the individual's net worth at the beginning and ending of the period in question. Starting with taxable income the methodology requires the addition of nondeductible livin

Economics - Macrotown and Microtown Case Study

The countries of Macrotown and Microtown have the production possibilities tables for sheep and hogs shown in the tables below. Without trade Macro would produce at Alternative D and Micro would also produce Alternative D. Note that the costs of producing sheep and hogs are constant in both countries. Macrotown Production

Answer case questions: 5-36, 5-37, 6-49, 6-53

See attached file. Assistance answering the questions and show all work in MS Excel or Word. 5-36 Special-Order Decision 5-37 Unit Costs and Total Costs 6-49 Hotel Pricing and Use of Capacity 6-53 Use of Available Facilities 5-36 Special-Order Decision Belltown Athletic Supply (BAS) makes game jerseys for athlet

Renteria Company: Compute manufacturing overhead rate, under and over applied

See attached file. E20-5 Renteria Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $305,000 for the year, and machine usage is estimated at 125,000 hours. For the year, $322,000 of overhead costs are incurred and 130,000 hours are used. Compu

Depreciation deductions in income tax returns

1A. Mickey Gillespie is the controller of Print Technologies, a publicly owned company that the company is experiencing financial difficulties and is aggressively looking for ways to cut costs. Suzanne Bedell, the CEO, instructs Gillespie to lengthen from 5 to 10 years the useful life used in computing depreciation on cert

13-49 Complete blanks for variance amounts; use F or U for each

Consider the following data regarding factory overhead: Variable Fixed Budget for actual hours of input $45,000 $70,000 Applied 41,000 64,800 Budget for standard hours allowed for actual output achieved ? ? Actual incurred 48,500 68,500 Using the above data, fill in the following blanks with the variance amounts. Use

13-48 Overhead Variances for Rivera Company

Consider the following data for the Rivera Company: Factory Overhead Fixed Variable Actual incurred $14,200 $13,300 Budget for standard hours allowed for output achieved 12,500 11,000 Applied 11,600 11,000 Budget for actual hours of input 12,500 11,400 From the above information, fill in the blanks below. Be sure to

13-45 Variable and Absorption Costing for Chan Manufacturing Company

Chan Manufacturing Company data for 20X7 follow: Sales: 12,000 units at $17 each Actual production 15,000 units Expected volume of production 18,000 units Manufacturing costs incurred Variable $120,000 Fixed 63,000 Nonmanufacturing costs incurred Variable $ 24,000 Fixed 18,000 1. Determine operating income for 20X7

13-B3 Youngstown Manufacturing Comparison of Variable and Absorption Costing

Consider the following information pertaining to a year's operations of Youngstown Manufacturing: Units sold 1,400 Units produced 1,600 Direct labor $4,200 Direct materials used 3,500 Fixed manufacturing overhead 2,200 Variable manufacturing overhead 300 Selling and administrative expenses (all fixed) 700 Beginning inv