An employee earned $4,600 in February working for an employer Cumulative earnings of the previous pay periods are $1,800. The FICA tax rate for Social Security is 62% of the first $28.400 of earnings each calendar year and the FICA tax rate for Medicare is 145% of all earnings. The current FUTA tax rate is 06%, and the SUTA tax rate is 54% Both unemployment taxes are applied to the first $7.000 of an employee's pay. What is the amount the employer should record as payroll taxes expense for the month of February Murple Choice O $150 $1000 O $35.90 O 548390 $230,00 An employee earned $4.600 in February working for an employer. The FICA tax rate for Social Security is 6.2% of the first $128.400 earned during each calendar year and the FICA tax rate for Medicare is 45% of all earnings. The employee has 5644 in federal income taxes withheld and has voluntary deductions for health insurance of $60 and contributes to% of gross pay to a retirement plan each month The employer pays the $200 remainder of the health insurance premium and an equal amount of contribution to the retirement fund. What is the amount of net pay for the employee for the month of February Multiple Choice O $3.094.0 $3,496.00 $3.6010 $9.446,00 52.63410 A company sold $12,000 worth of bicycles with an extended warranty. The company's experience is that warranty expense averages 2% of sales. The company Multiple Choice Consider the warranty expense a remote itability since the rate is only 2% Recognize warranty expense at the time the warranty work is performed Recognize warranty expense and liability in the year of the sale. O Consider the warranty expense a contingent liability Recognize warranty liability when the company purchases the bicycles A company must repay the bank a single payment of $20.000 cash in 3 years for a loan it entered into. The loan is at 8% interest compounded annually. The present value of 1 (single sum) at 8x. for 3 years is 0.7938. The present value of an annuity (series of payments) at 8% for 3 years is 25771 The present value of the loan frounded is Multiple Choice O $15.876 $20,000 $25.95 O $7761 $51542 On January 1, a company issues bonds dated January 1 with a par value of $300,000. The bonds mature in 5 years. The contract rate is 9%, and interest is paid semiannuely on June 30 and December The market rate is 8% and the bonds are sold for $312.177. The journal entry to record the first interest payment using straight-line amortization is Multiple Choice O Debe Interest Payable $13.500. Credit Cach $13,500.00 O Debit. Bond Interest Experte $12,282,30, dobe Discount on Bonds Payable $4.21770credit Cash $10,000.00 O Debit Bond leterest Bepense $147770, credit Premium on Bondi Payable $1.21720credit Cash $13,500.00 Debit Bond Interest Expense $4471770, credit Discount on Bonds Payable $121770, cred Can $13.500.00 Debt Bond interest Expense $12282.30 et Premium on Bonds Payabi $12,770, credit Cash 500.00 On January 1 of Year 1. Congo Express Airways issued $3,500,000 of 7%, bonds that pay interest semiannually on January 1 and July 1. The bond issue price is $3,197.389 and the market rate of inte similar bonds is 8%. The bond premium or discount is being amortized using the straight-line method at a rate of $10,087 every six months. The life of these bonds is: Multiple Choice 15 years O 30 years O 26 5 years O 32 years 35 years en January 1, a company issues bonds dated January 1 with a par value of $400,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31 the market rate is 8% and the bonds are sold for $383.793. The journal entry to record the first interest payment using straight-tine amortization is Multiple Choice Debit Interest Payable $14,000.00 credit Cash $1,000.00 O Debit interest Expense $4.000.00, credt Can $4.000.00 Debit interest Experte $15,62070, credit Ducourt on Bord Payal $162070,Credit Can $14.000.00 O Debit interest Expense $2,279.30, debit Discount on Bonds Payable $162070, CO Cash $1400000 Debit interest Expense $15.62070: credit Premium on Bonds Payable $162070,Credit Cash $14.000.00 en January 1, a company issues bonds dated January 1 with a par value of $400,000. The bonds mature in 5 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31 the market rate is 8% and the bonds are sold for $383.793. The journal entry to record the first interest payment using straight-tine amortization is Multiple Choice Debit Interest Payable $14,000.00 credit Cash $1,000.00 O Debit interest Expense $4.000.00, credt Can $4.000.00 Debit interest Experte $15,62070, credit Ducourt on Bord Payal $162070,Credit Can $14.000.00 O Debit interest Expense $2,279.30, debit Discount on Bonds Payable $162070, CO Cash $1400000 Debit interest Expense $15.62070: credit Premium on Bonds Payable $162070,Credit Cash $14.000.00 Chang Industries has bonds outstanding with a par value of $200,000 and a carrying value of $203,000. If the company calls these bonds at a price of $201.000, the gain or loss on retirement is Multiple Choice $1.000 gan O $2.000. $1.000 gwn. O $1,000 loss 0 $2.000 an company had a beginning balance in retained earnings of $430,000. It had net income of $60.000 and declared and paid cash dividends of $56.250 in the current period. The ending balance in earnings equals: Murple Choice O $546.250 O $426.250 O $116.250 O $2320 5490.000 A company's board of directors votes to declare a cash dividend of $.75 per share of common stock. The company has 15,000 shares authorized 10,000 issued, and 9,500 shares outstanding amount of the cash dividend is: Multiple Choice O $0.250. $14625 $7.25 $7,500 $11250