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Sylvia comes to you for advice in organizing her financial affairs. She is 29 years old and makes $50,000 per year, 30% of which goes to payroll deductions and taxes. Sylvia also receives $400 per year in interest from miscellaneous investments and savings accounts.

Sylvia has tracked her expenses for the last six months and provides you with the following estimates for the year:

Sylvia has the following assets:

Sylvia has the following debt:

Required:

1. Based on the information provided, prepare a net worth statement and an annual cash flow statement for Sylvia.     

b. Sylvia also has plans for saving and investing, and wants to find a way to “pay herself first.” She is willing to make adjustments to her spending habits and would like to see the effect of putting away 10% of her net pay for investing. Draw up a proposed future cash flow budget that will incorporate her ideas

U(C1, C2, C3, C4, C5) = C1∙C2∙C3∙C4∙C5

As a mathematical function, does U have a maximum or minimum value? What values of Ci correspond to the minimum value of U? What values of Ci correspond to the maximum value of U? Do these values of Ci make sense from an economic standpoint?

Now let us connect the idea of economic utility to actual dollar values. To keep the values more manageable, we will use household income rather than the entire state budget, and retail costs and measures rather than industrial ones. Find the Median Household Income for Mesa, AZ for the most recent year possible. Then find the dollar cost in Mesa, AZ for a Penny, a pound of Ground Beef, a pair of Jeans, fresh Orange Juice, and a Movie Ticket. (Entertainment is often used as a stand-in for Climate.) A Cost-of- Living Index is a good place to find much of this data. Record these prices as P1, P2, P3, P4, and P5 respectively.

Construct an equation using Median Income, the Ci and Pi values that illustrates how much of each resource the Median Household can afford to purchase. Given this restriction, do the maximum or minimum values of U change? Do the values of Ci that give the maximum or minimum values change? What are these new values? How should the Median Household budget its Income so as to maximize its Economic Utility?

Write up your findings in a paper that you could turn in to an employer. Be sure to show all your work. Include any appropriate references as well as any computational devices used.

* Solve the questions, make the table, and the graph.

U(C1, C2, C3, C4, C5) = C1∙C2∙C3∙C4∙C5

As a mathematical function, does U have a maximum or minimum value? What values of Ci correspond to the minimum value of U? What values of Ci correspond to the maximum value of U? Do these values of Ci make sense from an economic standpoint?

Now let us connect the idea of economic utility to actual dollar values. To keep the values more manageable, we will use household income rather than the entire state budget, and retail costs and measures rather than industrial ones. Find the Median Household Income for Mesa, AZ for the most recent year possible. Then find the dollar cost in Mesa, AZ for a Penny, a pound of Ground Beef, a pair of Jeans, fresh Orange Juice, and a Movie Ticket. (Entertainment is often used as a stand-in for Climate.) A Cost-of- Living Index is a good place to find much of this data. Record these prices as P1, P2, P3, P4, and P5 respectively.

Construct an equation using Median Income, the Ci and Pi values that illustrates how much of each resource the Median Household can afford to purchase. Given this restriction, do the maximum or minimum values of U change? Do the values of Ci that give the maximum or minimum values change? What are these new values? How should the Median Household budget its Income so as to maximize its Economic Utility?

Write up your findings in a paper that you could turn in to an employer. Be sure to show all your work. Include any appropriate references as well as any computational devices used.

* Solve the questions, make the table, and the graph.

Tim and Sarah Lawrence are married and file a joint return. Tim's Social Security number is 123-45-6789, and Sarah's Social Security number is 111-11-1111. They reside at 100 Olive Lane, Covington, LA 70434. They have two dependent children, Sean and Debra, ages 12 and 16, respectively. Sean's Social Security number is 123-45-6788, and Debra's Social Security number is 123-45-6787. Tim is self-employed as the sole proprietor of an unincorporated business, and Sarah is a corporate executive. Tim reports the following 2018 income and expenses from his business. Gross income $325,000 Business expenses 201,000 Sarah was covered for the entire year by her employer's health insurance policy. Other records related to Sarah's employment provide the following information. Salary $145,000 Unreimbursed travel expenses (including $200 of meals) 1,100 Unreimbursed entertainment expenses 500 Other pertinent 2018 information follows. Proceeds from sale of stock acquired on July 15, 2017 (cost of $12,000), and sold on August 1, 2018 $ 9,800 Proceeds from sale of stock acquired on September 18, 2017 (cost of $5,000), and sold on October 5, 2018 3,800 Wages paid to full-time domestic worker for housekeeping and child supervision 10,000 Interest income received 7,000 Total itemized deductions (not including any potential deductions above) 27,900 Federal income tax withheld 31,850 Estimated payments, Federal income tax 20,000 *****REQUIREMENTS Compute the 2018 net tax payable or refund due for Tim and Sarah Lawrence.

6. Anna operates a child care service from her home. Her gross business income for 2015 amounted to $42 350. Her tax-deductible business expenses consisted of the following: Advertising $1700 Dues, memberships, subscriptions 520 Motor vehicle expenses 1115 Supplies 582 Meals and entertainment 495 Other expenses 437 Anna can also deduct home expenses, such as utilities, property taxes, house insurance, mortgage interest, and maintenance for the business use of a workspace in her home. The amount that may be deducted is a proportion of the total annual home expenses allocated to the workspace on a reasonable basis, such as area or number of rooms. Anna’s eligible home expenses for the year were: Heat $3750 Power 2480 Water 610 House insurance 1420 Maintenance 1930 Mortgage interest 6630 Property taxes 3260 Other expenses 690 The house covers 345 square metres and consists of eight rooms. Anna uses one room with an area of 45 square metres as her business office. Questions a. What portion of her eligible home expenses may Anna claim as tax-deductible expenses if the expenses are allocated on the basis of i. area? ii. number of rooms? b. What is her net business income if Anna allocates home expenses on the basis of area? c. For most individuals, basic federal income tax equals the federal tax calculated according to Table below, less non-refundable tax credits. What is Anna’s basic federal income tax if she reports a non-refundable tax credit in 2015 of $11 138?

Problem A, Income Taxes Harms Way Company (HWC) provides you with the following information for the year ended October 31, 2020. Your assignment is to calculate income tax expense, income taxes payable, and deferred income tax assets/liabilities. The end result will be a journal entry to record all of that. In addition, you must calculate HWC’s effective tax rate and prepare a reconciliation to the federal statutory rate of 21%. You can explain the difference in words, if you wish.

Information provided:

1. Income before tax, as shown on HWC’s GAAP statement of income = $2,440,000

2. Depreciation calculated under GAAP = $300,000. Depreciation as will be shown on the tax return = $475,000.

3. Interest income on municipal bonds, which is not subject to federal income tax = $150,000.

4. Fines recorded and paid during the year to the EPA for environmental violations = $450,000. Fines are not tax deductible.

5. Meals and entertainment expenses recorded during the year = $375,000. Only one-half (50%) of those expenses may be deducted for tax purposes.

6. At the end of the fiscal year (in October 2020), HWC received a payment of $750,000 from a client for a product to be delivered in November 2020. Under the tax law, that payment is taxable when received, not when the product is delivered.

Your Assignment: Calculate:

1. Income tax expense (GAAP).

2. Income taxes currently payable.

3. Deferred income taxes resulting from this year’s operations.

Be sure to show your work, I give partial credit (full credit, too, of course), but I must be able to see how you calculated amounts used in your answer

answer key for all of the question below

A. Number expression (i.e., word of figure forms or symbols

B) punctuation other than commas or semicolon, hyphens, apostrophes, periods and question marks).

C )Commas or semicolons

D) capitalization

1. Martha budgeted 750 dollars for books next semester.
2. Carmen is going to work but she will stop at the store on the way home.
3. Is your sisters car in the parking lot?
4. Finals are scheduled to start on May 18th.
5. Tim said he would finish the cover page, and the presentation outline.
6. George is going to take an accounting class over the summer.
7. Having considered several alternatives he decided this was the best choice.
8. In my science class we just finished studying a unit on highly- reactive chemical compounds.
9. Robert was evaluating whether to buy a Canon digital camera or a Fuji digital camera.
10. Our committee is planning to meet on February 15, 2020, March 14,2020 and April 12, 2020
11. When he was at Disneyland, Simon found twin dollars well he was standing in line for an ice cream
12. Will you please get a copy of the homework assignment for me?
13. Karen wants to move to Long Beach, however, she does not know if she can find and a four apartment.
14. I heard that professor Andrews is going to take a group of student to London.
15. My goal is to read 3 books during my summer vacation.
16. The report was prepared by: Tim Cramer, Rhonda Bohemer, and Juan Hernandez.
17. John’s flight to Denver is scheduled to depart from gate 92.
18. During the last departmental meeting we decided to form a committee to
19. Tim built the entertainment center by carefully following the step by step instructions.

What do the degree of operating leverage (DOL, degree of financial leverage (DFL), and degree of combined leverage (DCL) You obtained in the previous question mean? Explain fully using your results.