Reference no: EM133090878

Questions -

Q1. Assume a FICA for Social Security rate of 6.2%, a FICA for Medicare rate of 1.45%, a federal income tax withholding rate of 20%, a state income tax withholding rate of 7%, a federal unemployment rate of 0.6%, and a state unemployment rate of 3%. Also assume the wage limit for social security is $142,800 and the wage limit for both FUTA and SUTA is $7,000. Connie is paid monthly and earned $5,000 in the first month of the year. How much is her take-home pay assuming no other deductions other than the required tax deductions?

Q2. Publisher Inc. has 1,000,000 shares of common stock authorized. In 2020, Publisher issued 400,000 shares. In 2021, Publisher reacquired 75,000 shares of its own stock. How many shares outstanding does Publisher Inc. have after the 2021 transaction?

Q3. Assume a FICA for Social Security rate of 6.2%, a FICA for Medicare rate of 1.45%, a federal income tax withholding rate of 20%, a state income tax withholding rate of 7%, a federal unemployment rate of 0.6%, and a state unemployment rate of 3%. Also assume the wage limit for social security is $142,800 and the wage limit for both FUTA and SUTA is $7,000. Ren is paid monthly and earns $13,000 per month. How much will Ren's net pay be for the month of November assuming the only deductions are required taxes?

Q3. At the beginning of the current year, Symbol Corporation had $20,000 of dividends in arrears on preferred stock. This represents the dividend requirement for a four-year period. During the current year, common shareholders received a dividend distribution. How much in preferred dividends was paid during the current year?

Q4. On February 13, Solo Inc. reacquires 50,000 shares of its $1 par value common stock at the current market price of $11. The stock was originally issued for $8. On August 22, Solo reissued the stock for $15. What is the overall effect of the February 13 and August 22 transactions on Solo's financial statements?