Cralic Company Has 12 Employees and Operates in Texas

question 10

Multiple Choice

Cralic Company has 12 employees and operates in Texas. The Form 940 for the previous year contained the following information: What amount should be entered on line 5? (Assume that all employees had exceeded the FUTA wage base.)

• A) $84,000.00
• B) $1,535.91
• C) $159,440.75
• D) $1,031.91

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Definitions:

Investing Activity

Activities related to the purchase or sale of long-term assets and investments, a component of a company's cash flow statement.

Financing Activity

Transactions involved in sourcing capital for the company operations and investments, which may include issuing bonds, obtaining loans, or repaying debt.

Common Stock

A type of security that represents ownership in a corporation, with holders usually having voting rights and potentially receiving dividends.

Statement of Cash Flows

A financial report that shows how changes in balance sheet and income accounts affected cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.