Answer:
$23,000
Explanation:
Before recording the journal entry, first we have to determine the pension expense amount which is shown below:
Pension expense = service cost + interest cost - expected return on plan assets
= $18,000 + $5,000 - $10,000
= $13,000
Now the journal entry would be
Pension expense A/c Dr $13,000
Plan asset A/c Dr $10,000
To PBO A/c $23,000
(Being the annual pension cost is recorded)
All other information which is given is not relevant. Hence, ignored it
Answer:
The correct answer for option (a) is $3,080 and for option (b) is $2,141.
Explanation:
(a). Current pay = $44
After 40 hours, Pay = $44 × 1.5 = $66
So, we can calculate the gross pay by using following formula:
Gross pay = (40 hours × $44 ) + (20 hours × $66)
= $1,760 + $1,320
= $3,080
(b).
Security Tax = Gross pay × 6% = $3,080 × 6% = $184.8
Medicare Tax = Gross pay × 1.5% = $3,080 × 1.5% = $46.2
Federal Income Tax = $708
So, we can calculate the net pay by using following formula:
Net Pay = $3,080 - $184.8 - $46.2 - $708
= $2,141
The strength of patent protection is that it D) grants a monopoly on underlying concepts and ideas.
Answer:
the six month euro interest rate is 1.36%
Explanation:
Spot exchange rate: 1.4 USD/ EUR
6 month forward rate: 1.3950 USD/EUR
Domestic interest rate: 1% pa
Foreign interest rate: the six month euro interest rate?
We have the formula:
Forward rates = Spot rate * (1+domestic interest rate)/(1+foreign interest rate)
⇔ 1.3950 = 1.4 *(1+1%)/(1+foreign interest rate)
⇔ 1+foreign interest rate = 1.4 *(1+1%)/1.3950
⇔foreign interest rate = 1.01362 - 1 = 0.01362
⇒ the six month euro interest rate is 1.36%
