Chapter 8 6 What is the net pay for the employee? week. Payroll data for the current week are as follows: hours worked, 46; federal income tax withheld, $300 cumulative earnings for year prior to current week, 590,700; social security tax rate, 6.0% on maximam of ST6,800; and Medicare tax rate, 1.5 % on all carnings. What is the net pay for the employee? a. S1,147.95 An employee receives an hourly rate of S30, with time and a half for all hours worked in excess of 40 during a b. S1,059.75 c. S1,470,00 d. $1,359.75 ANSWER: b the amount of cash received from the sale is: 7. If % bonds are issued at of at a price of shares of common stock with a par value of $ A company sold $ 8. per share. What is the effect on the accounts of this transaction? par value common stock outstanding at the for-1 stock split. What is the 9. Orange Inc. had beginning of the year. During the year, the company issued a number of shares outstanding after the split? shares of $ 10. Assuming that the payroll will be paid on December 29, what will be the employer's total FICA tax for this payroll period on the two salary amounts of $850 each? Chapter 9 11. From the following data for the current year, compute the average accounts receivable. 11. Based on the following data for the current year, determine the days' sales in accounts receivable. 64.l0loC A company reports the following enduy 33,200/2 $750,000 Net sales S 50,000 Average accounts receivable (net) Determine the (a) accounts receivable turnover and (b) days' sales in receivables. Round your answers to one decir place. ANSWER: (a) Accounts receivable turnover Sales / Average accounts receivable Accounts receivable turnover= $750,000 /$50,000 Accounts receivable turnover 15.0 Days' sales in receivables Average accounts receivable / Average daily sales Days' sales in receivables $50,000/ (S750,000/365) Days' sales in receivables 24.3 (b)