The proper amount to calculate the sales tax on

Assignment Help Accounting Basics

Reference no: EM131089374

James Bulger works at a sandwich shop in Ames, Iowa. During his coffee break each afternoon, he enjoys a candy bar that his employer sells to him at an employee discount. Candy bars are not exempt (as food) from sales taxes in Iowa, and his employer charges him sales tax on the purchase. Recently, James noticed that his employer was charging him sales tax on the retail sales price ($1), not the employee discount price ($0.80) that James actually pays. What is the proper amount to calculate the sales tax on, the actual (reduced) price or retail price?

Reference no: EM131089374

Questions Cloud

Briefly how issue is handled in the criminal justice system : It should be from a historical perspective and related to a contemporary criminal justice issue. In the abstract explain the issue, explain the historical attempts to resolve or address the issue, and discuss briefly the how the issue is handled i..

Price of two-year european call option on stock : What, to the nearest cent, is the lower bound for the price of a two-year European call option on a stock when the stock price is $20, the strike price is $15, and the risk-free interest rate with continuous compounding is 5% and there are no dividen..

Northern division of a large corporate house : Ritu is the manager of the northern division of a large corporate house. At what level does she work in the organization? What are her basic functions?

Flow-to-equity method-value of equity after recapitalization : Valuation Methodologies ABC, Inc., is an unlevered venture that reached its mature life-cycle stage. ABC is expecting earnings before taxes of $30 million in perpetuity. Calculate the value of ABC before the recapitalization plan is announced. What i..

The proper amount to calculate the sales tax on : James Bulger works at a sandwich shop in Ames, Iowa. During his coffee break each afternoon, he enjoys a candy bar that his employer sells to him at an employee discount.

Define the functions and role of law in business and society : Write a 700- to 1,050-word paper in which you define the functions and role of law in business and society. Discuss the functions and role of law in your past or present job or industry. Properly cite at least two references from your reading.

Are unpaid internships a violation of the principles of esa : Are unpaid internships a violation of the principles of the ESA? Explain your reasoning. Do you think there is a need for stronger rules for unpaid internships? Explain your reasoning.

File income and self-employment tax returns for the open tax : Your client, Lee Ann Harkness, has been accused of criminal tax fraud. A high school dropout, she received hundreds of thousands of dollars over the years from Bentley, an elderly gentleman, in exchange for love and companionship.

Venture capitalists or investment bankers : When a new business is started, or a patent idea need funding, venture capitalists or investment bankers will want to see a business plan that includes financial information related to profit and loss statement.

User Account

All Pages