Jefferson Enterprises estimates that it will pay a 5% bonus on annual net income. If Jefferson reports net income of $480,000 before the calculation of the bonus, the amount of the bonus is $24,000
Indicate whether the statement is true or false
FALSE .Bonus = (Bonus % x Net income before bonus)/ (1 + Bonus %)
= (0.05 x $480,000 )/ (1 + 0.05 )
= ($22,857 rounded)
You might also like to view...
A shareholder's resolution is the written document that a shareholder signs authorizing another
person to vote his or her shares at the shareholders' meeting in the event of the shareholder's absence. Indicate whether the statement is true or false
List the 10 managerial roles developed by Mintzberg.
What will be an ideal response?
Janet promises Eli $4,000 for one of his original paintings on the condition that she receive $1 million from her mother's will. Janet has made:
A) an illusory promise. B) a legally sufficient promise unless Janet knew at the time she made the promise that she could not inherit the $1 million. C) a conditional promise which is not sufficient to form consideration. D) a legally inadequate promise, and the courts will therefore not enforce it.
Toyota Motor Company operates in many different countries and pays taxes at many different rates. However, they always pay the same rate as their local competitors
Toyota Motor Company is operating in an environment of ________ tax policy. A) domestic neutrality B) foreign neutrality C) territorial approach D) none of the above