Use Tax table and tax rate schedule as of september 2019

Determine the amount of tax liability in each of the following instances:

Use the appropriate Tax Tables and Tax Rate Schedules.

1. A married couple filing jointly with taxable income of $33,091.
2. A married couple filing jointly with taxable income of $193,759.
3. A married couple filing separately, one spouse with taxable income of $43,985 and the other with $56,318.
4. A single person with taxable income of $79,536.
5. A single person with taxable income of $300,025.
6. A head of household with taxable income of $96,692.
7. A qualifying widow with taxable income of $15,710.
8. A married couple filing jointly with taxable income of $11,316.

(For all requirements, use the Tax Tables for taxpayers with taxable income under $100,000 and the Tax Rate Schedules for those with taxable income above $100,000.)

a. A married couple filing jointly with taxable income of $33,091.
b. A married couple filing jointly with taxable income of $193,759. (Round your intermediate computations to 2 decimal places and final answer to the nearest dollar amount.)

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c. A married couple filing separately, one spouse with taxable income of $43,985 and the other with $56,318.

d. A single person with taxable income of $79,536.
e. A single person with taxable income of $300,025. (Round your intermediate computations to 2 decimal places and final answer to the nearest dollar amount.)
f. A head of household with taxable income of $96,692.
g. A qualifying widow with taxable income of $15,710.
h. A married couple filing jointly with taxable income of $11,316.

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Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget:

a. Prepare a sales budget.

b. Prepare a production budget. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Break-Even in Units, After-Tax Target Income, CVP Assumptions

Campbell Company manufactures and sells adjustable canopies that attach to motor homes and trailers. The market covers both new unit purchases as well as replacement canopies. Campbell developed its business plan for the year based on the assumption that canopies would sell at a price of $400 each. The variable costs for each canopy were projected at $200, and the annual fixed costs were budgeted at $120,000. Campbell’s after-tax profit objective was $216,000; the company’s effective tax rate is 40 percent.

While Campbell’s sales usually rise during the second quarter, the May financial statements reported that sales were not meeting expectations. For the first five months of the year, only 350 units had been sold at the established price, with variable costs as planned, and it was clear that the after-tax profit projection for the year would not be reached unless some actions were taken. Campbell’s president assigned a management committee to analyze the situation and develop several alternative courses of action. The following mutually exclusive alternatives, labeled A, B, and C, were presented to the president:

A. Lower the variable costs per unit by $25 through the use of less expensive materials and slightly modified manufacturing techniques. The sales price will also be reduced by $30, and sales of 2,200 units for the remainder of the year are forecast.

B. Reduce the sales price by $40. The sales organization forecasts that with the significantly reduced sales price, 2,700 units can be sold during the remainder of the year. Total fixed and variable unit costs will stay as budgeted.

C. Cut fixed costs by $10,000, and lower the sales price by 5 percent. Variable costs per unit will be unchanged. Sales of 2,000 units are expected for the remainder of the year.

Required:

1. Determine the number of units that Campbell Company must sell in order to break even assuming no changes are made to the selling price and cost structure.
units

2. Determine the number of units that Campbell Company must sell in order to achieve its after-tax profit objective.
units

3. Determine which one of the alternatives Campbell Company should select to achieve its annual after-tax profit objective.

Be sure to support your selection with appropriate calculations.

• Estimate the product costs is for Fitbit.In 2018, we focused on providing more choice and accessibility to consumers in wearables to drive acquisition of users. We introduced Fitbit Versa, our first mass appeal smartwatch in the second quarter, resulting in increased smartwatch revenue over the course of 2018. Smartwatch revenue increased to 44% of revenue in 2018, from 8% in 2017. We also launched Fitbit Charge 3, which innovates on our Charge family of trackers, and which has sold more than 38 million devices. It gives people health and fitness features in a slim, premium tracker design, with smart functionality, and long battery life at an affordable price. The introduction of Fitbit Ace, a tracker designed for kids ages 8 and up and Fitbit family accounts, also expanded our addressable market.

• Do the costs described include direct materials, direct labor, and manufacturing overhead?
• Are any product costs missing from these analyses?
• Discuss how you would try to determine direct materials, direct labor, overhead costs.
• Are there other costs that are not considered?
• Which product costing method do you think is appropriate for the product you chose and why?
• Are you outraged by the product mark-up?

The Board of Directors of Gold Structures Inc. is receiving the 2016 annual Report. A new board member-a wealthy woman with little business experience -questions the company's accountant about depreciation amounts. The new board member wonders why the depreciation expense has decreased from R220 000 in 2014 to R204 000 in 2015 and R196 000 in 2016. She states that she could understand the decreasing annual amounts if the company had been disposing of properties each year, but that did not occur. Further, she notes that the growth in the city is increasing the values of the company properties.

Required:

Prepare a response to the new board member's concerns. Also indicate why the company is recording depreciation when the property values are increasing?

The production supervisor of the Machining Department for Niland Company agreed to the following monthly static budget for the upcoming year:

The actual amount spent and the actual units produced in the first three months in the Machining Department were as follows:

The Machining Department supervisor has been very pleased with this performance because actual expenditures for January–March have been significantly less than the monthly static budget of 1,703,000. However, the plant manager believes that the budget should not remain fixed for every month but should “flex” or adjust to the volume of work that is produced in the Machining Department. Additional budget information for the Machining Department is as follows:

a. Prepare a flexible budget for the actual units produced for January, February, and March in the Machining Department. Assume depreciation is a fixed cost. If required, use per unit amounts carried out to two decimal places.

b. Compare the flexible budget with the actual expenditures for the first three months.

What does this comparison suggest?

In the current economic environment, there has been a lot of discussion related to the excessiveness of executive pay. Agree or disagree as to whether you believe it is excessive and explain your position. What other alternatives may be there be to executive pay?

Delaware Chemical Company uses oil to produce two types of plastic products, P1 and P2. Delaware budgeted 26,600 barrels of oil for purchase in June for $66 per barrel. Direct labor budgeted in the chemical process was $228,200 for June. Factory overhead was budgeted at $316,000 during June. The inventories on June 1 were estimated to be:

The desired inventories on June 30 were:

Use the preceding information to prepare a cost of goods sold budget for June. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

You are required to prepare a written research assignment that addresses one of the provided topics
below. The purpose of the task is for you to demonstrate high-level critical reflection and analytical
reasoning skills in the context of the application of Australian taxation law and taxation law policy. You
must undertake academic research which demonstrates the following:
1. An in-depth your understanding of how the specific tax law applies,
2. The policy context of the law and if relevant how other jurisdictions deal with similar issues,
3. Critical reflection as to whether the law achieves its stated purpose aligns with principles of
good tax policy or could be improved/amended. These critical reflections should be
supported by the research you have undertaken as well as your own independent thought.

TOPIC:

Division 7A (treatment of private company loans) - discuss and critically evaluate Division 7A
as a specific anti-avoidance provision. You should include a discussion of the overall policy
objectives and your evaluation of whether the Division currently meets these objectives or
whether further amendments are necessary.

The financial statements of Lowz Company appear below:

Prepare a statement of cash flows for Lowz Company using the direct method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Diego Company manufactures one product that is sold for $73 per unit in two geographic regions—the East and West regions. The following information pertains to the company’s first year of operations in which it produced 44,000 units and sold 39,000 units.

The company sold 29,000 units in the East region and 10,000 units in the West region. It determined that $180,000 of its fixed selling and administrative expenses is traceable to the West region, $130,000 is traceable to the East region, and the remaining $90,000 is a common fixed cost. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product.   

5. What is the company’s total gross margin under absorption costing?

6. What is the company’s net operating income (loss) under absorption costing?

7. What is the amount of the difference between the variable costing and absorption costing net operating incomes (losses)?  

8a. What is the company’s break-even point in unit sales?

8b. Is it above or below the actual sales volume?

9.If the sales volumes in the East and West regions had been reversed, what would be the company’s overall break-even point in unit sales?

10. What would have been the company’s variable costing net operating income (loss) if it had produced and sold 39,000 units?   

(THERE IS NO ADDITIONAL INFORMATION PROVIDED OR NEEDED, SIMPLY NEED THIS CREATED IN EXCEL)

Credit Card Amortization Schedule (MUST BE IN EXCEL)

Starter File Name: None

Difficulty: Level 3

Credit cards can offer people considerable flexibility when it comes to purchasing power. However, this flexibility usually comes at a cost through a high APR on any unpaid balances. If only the minimum payment is made on a credit card balance, this debt could be carried for many years and cost thousands of dollars in interest expense. The purpose of this exercise is to design an amortization schedule for a credit card where only the minimum payment is made. Assume the bank charges an APR of 16% and that the current balance on the credit card is $5,000. The minimum payment is established on a fourteen year repayment period and payments are made at the end of each month. The design of your amortization table must include the following:

1. Design is limited to one worksheet.

2. Assume credit card statements are issued on the first day of each month. Show the statement date for each payment and the statement month on the amortization schedule. The date for the first statement is 9/1/2020.

3. For each payment, show the total payment, how much of the payment is interest expense, and how much is used to reduce the balance of the credit card. The schedule should also show the credit card balance at the beginning of every month.

4. Once the amortization table is complete, use the data to create a PivotTable on a second worksheet. The PivotTable should show how much total interest is paid each year and the total interest paid on the $5,000 balance after fourteen years. Also show the total amount of principal paid each year. The row heading should be the year sorted in chronological order beginning with 2020. Finally, show the number of payments made each year. Since the first statement is 9/1/2020, the year 2020 will have four payments.

5. Use column and/or row headings, add titles to your worksheets, and rename the worksheet tabs with appropriate labels. Also, use appropriate number formats on both the amortization worksheet and the PivotTable.

Hickory Company manufactures two products—14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is considering implementing an activity-based costing (ABC) system that allocates all of its manufacturing overhead to four cost pools. The following additional information is available for the company as a whole and for Products Y and Z: Activity Cost Pool Activity Measure Estimated Overhead Cost Expected Activity Machining Machine-hours $ 198,000 10,000 MHs Machine setups Number of setups $ 86,400 180 setups Production design Number of products $ 82,000 2 products General factory Direct labor-hours $ 248,000 12,000 DLHs Activity Measure Product Y Product Z Machine-hours 6,800 3,200 Number of setups 50 130 Number of products 1 1 Direct labor-hours 7,800 4,200

5. What is the activity rate for the Product Design activity cost pool?

6. What is the activity rate for the General Factory activity cost pool? (Round your answer to 2 decimal places.)

7. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Y? (Do not round intermediate calculations and round your final answer to the nearest dollar amount.)

8. Using the ABC system, how much total manufacturing overhead cost would be assigned to Product Z? (Do not round intermediate calculations and round your final answer to the nearest dollar amount.)