Question
1-A On January 15, 2025, Roberta earned $950.00 for two weeks work at AAA Corp. The following amounts were correctly accounted for in relation to
1-A
On January 15, 2025, Roberta earned $950.00 for two weeks work at AAA Corp. The following amounts were correctly accounted for in relation to Roberta's earnings:
FICA 6%
Medicare 1.5%
FUTA .4%
Federal Income Tax Withheld $175.00
Requirments:
1. What is Roberta's net earnings?
2. What is AAA Corp's total payroll expense in relation to Roberta's earnings?
1-B
Abardeen Corporation borrowed $90,000 from the bank on October 1, Year 1. The note had an 8 percent annual rate of interest and matured on March 31, Year 2. Interest and principal were paid in cash on the maturity date. Requirements: a. What amount of cash did Abardeen pay for interest in Year 1? b. What amount of interest expense was recognized on the Year 1 income statement? c. What amount of total liabilities was reported on the December 31, Year 1, balance sheet? d. What total amount of cash was paid to the bank on March 31, Year 2, for principal and interest? e. What amount of interest expense was reported on the Year 2 income statement?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started