Action Travel Has 10 Employees Each Working 40 Hours Per

question 111

Multiple Choice

Action Travel has 10 employees each working 40 hours per week and earning $20 an hour.Federal income taxes are withheld at 15% and state income taxes at 6%.FICA taxes are 7.65% and unemployment taxes are 3.8% of the first $7,000 earned per employee.What is the actual direct deposit of payroll for the first week of January?

• A)$5,404.
• B)$5,708.
• C)$4,792.
• D)$8,000.

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Definitions:

Future Cash Flows

These are the estimated amounts of money expected to be received or paid out in the future as a result of current investments, operations, or financial decisions.

Pro Forma Financial Statements

Financial statements that project the future financial position of a company based on current data and assumptions about future events.

Worst-Case Scenarios

The most adverse, yet possible, outcomes that can occur under certain conditions.

Competitor Behavior

Actions and strategies employed by businesses in the same industry that influence market dynamics and competitive landscapes.