Need A Tutor?    |   Need Homework Help?                                                                             Help and Support     | Join or Cancel

Chapter Tests             01  02  03  04  05  06  07  08  09  10  11  12  13  14  15  16 17 18  19  20  21  22                 Unit Test 01  02  03  04  05  06        

Homework Chapter    01  02  03  04  05  06  07  08  09  10  11  12  13  14  15  16 17 18  19  20  21  22

---

When Employers pay Employee wages once a week.
When employees are paid once a week, they are paid 52 times in a year.
Weekly

When Employers pay wages every 2 weeks.
When employees are paid every two weeks, they are paid 26 times a year.
Biweekly
 
Logan company pays Abby Rogers on the basis of the following schedule:

1 - 50 Units = .50
51 - 150 units = .62
151 - 200 units = .75
Over 200 units = 1.25

Last week Abby produced 300 dolls. What is Abby's gross pay.
(50 x .50) + (100 x .62) +(50 x .75) + (100 x 1.25)
25 + 62 + 37.50 + 125 = $249.50
 
Wages calculated as a percent of the value of goods sold
straight commission
 
The receiving of advance wages to cover business or personal expenses. Once wages are earned, drawing amount
reduces actual amount recieved
Draw


Logan Company pays Jackie Okamoto a straight commission of 15% on her net sales (net sales are total sales less sales returns).
In May, Jackie had net sales of $56,000. Logan gave Jackie a $600 draw in May. What is Jackie's gross pay?
Logan calculated Jackie's commission minus her draw as follows:
$56,000 x .15 = $8,400 - 600 =
$7,800
 
Company pays different commission rates for different levels of net sales
Variable Commission Scale

Last month, Jane Ring's net sales were $160,000. What is Jane's gross pay based on the following schedule?
Up to $35,000 4% - Excess of $35,000 to $45,000 6% - Over $45,000 8%
(35,000 x .04) + (10,000 x .06) + (115,000 x .08)
$1,400 + $600 + $9,200 = $11,200
 
Logan Company pays Joe Roy a $3,000 monthly salary plus a 4% commission for sales over $20,000.
Last month Joe's net sales were $50,000. Logan calculated Joe's gross monthly pay as follows:
Gross Pay= Salary + (Comission x Sales over $20,000)
$3,000 + (.04 x $30,000)
$3000 + $1,200
$4,200
 
Managers receive commission based on the net sales of the people they supervise
Overrides
 
When 40 hours or less were worked in a week, gross pay is found by multiplying regular _____ worked by ____ per hour.
Hours , Rate

It is thought that paying workers by the piece encourages them to produce more.
Gross Pay = Number of Units x Rate Per Unit
Piece Rate
 
Abby Lewis produced 165 units this pay period and earns piece rate on the following differential scale:
1 - 100 = $3.25
101 - 150 = $3.50
Over 150 = $3.75

Her pay for this period is?
100 x 3.25 = 325
50 x 3.50 = 175
15 x 3.75 = 56.25
$325 + $175 + $56.25 = $556.25
Solution: $556.25
 
Jan Earns 4% on net sales. This period she had sales of $200,000 and returns of $20,000.
She also took an advance of $1,000. Match the amounts to the respective terms.
$180,000
 
Percent of base amount of each employee's salary. FICA taxes are used to fund retirement,
disabled workers, medicare, and so on. FICA is now broken down into social security and medicare.
Federal Insurance Contribution Act (FICA)
 
Federal Tax withheld from paycheck. THe more allowanes an employee claims,
the less money the employer deducts from the employee's paycheck. Each pay period has its own
FIT pay period table.
Federal Income Tax withholding (FIT)
 
A method to calculate with-holdings. Opposite of wage bracket method
Percentage Method
 
Tax paid by employer and current rate is .8% on first $1,000 of earnings.
Federal Unemployment Tax Act (FUTA)
 
Assume a company had total wages of $19,000 in a calendar year.
No employee earned more than $7,000 during the calendar year.
The FUTA tax is .6% (6% minus the company's 5.4% credit for state unemployment tax).
How much does the company pay in FUTA tax?
SUTA: $20,000 - $4,000 = $16,000
FUTA: $16,000 x .006 = $96

---

Homework Chapter    01  02  03  04  05  06  07  08  09  10  11  12  13  14  15  16 17 18  19  20  21  22                 Need A Tutor?     Need Homework Help? 

---

Earnings for the year were $5,000. The FUTA rate is 6.2% and the company received a 5% SUTA credit.
Match the amounts to the respective terms.
$5,000 - Taxable Earnings (earnings below $7,000 per person per calendar year are taxable for FUTA)
6.2 % - Adjusted FUTA rate
1.2% - Unadjusted FUTA rate
$60 - FUTA tax amount ($5,000 x .012 = $60)
 
Ace Manufacturing has unemployment taxable earnings this peirod of $20,000.
The SUTA and FUTA rates are 5.4% and .8% respectively. The SUTA tax is:
$1,080
Taxable earnings of $20,000 times the SUTA rate of 5.4% = $1,080 SUTA tax
 
Payroll registers include the following columns of information:
Regular Earnings, Overtime Earnings, Cumulative Earnings, Employee Name, Gross Pay
 
Which of the following do you NOT need to know to calculate the break even point?
 
expected selling price of each unit of the product.
a competitor’s price for the product
variable costs for manufacturing each unit of the product.
fixed costs for manufacturing the product.
 
Which of the following is least likely to affect the amount of shipping charges?
the color of the package
 
Which organization is responsible for regulating the calculation of depreciation?
IRS
 
Employees are typically reimbursed for which of the following expenses when they travel on business trips?
hotel charges
 
Which of the following manufacturing costs is often distributed or charged to the various divisions and departments of the company?
overhead costs
 
Which of the following is considered to be a raw material?
Lumber
 
When sales exceeds the break-even point there is a:
Profit
 
The ____________________ method of depreciation uses a fixed rate of depreciation for each year
MARCS
 
The break-even point in dollars is calculated by taking
Break-even point in units times sales price
 
Some employers pay a fixed amount of money to their employees for each day of travel.
These employees are reimbursed on a ____________________ basis.
per diem

Chapter Tests             01  02  03  04  05  06  07  08  09  10  11  12  13  14  15  16 17 18  19  20  21  22                 Unit Test 01  02  03  04  05  06        

Homework Chapter    01  02  03  04  05  06  07  08  09  10  11  12  13  14  15  16 17 18  19  20  21  22