Gloria works as a freelance software developer with Ticki-Tacker Limited, a social media firm based in the city of London. She has two options for the purpose of personal income tax assessment. She may be added to the payroll of Ticki-Tacker Limited under the PAYE system or allowed to be treated as a self-employed individual. OPTION 1: Gloria under the PAYE system She will be placed on an annual salary of £50,000, and she would be required travel to work from Mondays to Fridays throughout the year via train, except for four weeks in a year when she will be on annual leave. The annual train ticket costs £2,400. OPTION 2: Gloria as a self-employed Gloria is allowed to invoice Ticki-Tacker Limited, an annual fee of £50,000. This work involves travelling to clients’ offices for a total of 5,200 miles annually in her own car. This is estimated to cost 39p/mile. Assume that Gloria’s annual accounts cover April 2020 to March 2021. REQUIRED: a. Calculate the relevant income tax and National Insurance Contribution liability under each of the two options identified. b. Calculate the disposable income (after all deductions) under the two options identified. c. Apart from (a) and (b) above, analyse any other factors that you think Gloria may take into consideration (from a taxation perspective) in arriving at the best option.

Answers

Answer 1

a. The relevant income tax and National Insurance Contribution liability are as follows:

                                                     PAYE System   Self-Employed

Income tax (20%)                             (£8,378)                £8,731

National Insurance Contribution      (5,712)                (4,317)

Total income tax and NIC liability  £14,090             £13,048

b. The disposable income after all known deductions under the two options are:

                                                  PAYE System   Self-Employed

Disposable income                       £33,510             £34,924

c. The other allowable deductions will need to be taken into consideration so that Gloria can arrive at the best option.

Data and Calculations:

                                                    PAYE System   Self-Employed

Earnings per year                            £50,000          £50,000

Allowable expenses:

Travel expenses                                (2,400)              (2,028) (£0.39 x 5,200)

Net Earnings                                   £47,600             £47,972

National Insurance Contribution     (5,712)               (4,317)

                                                (£47,600 x 12%)       (£47,972 x 9%)

Taxable income                              £41,888             £43,655

Income tax (20%)                            (£8,378)               £8,731

Disposable income                        £33,510             £34,924

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Related Questions

Suppose you deposit $1,000 in a bank and the reserve requirement is 0.25. If the banking system has zero excess reserves, then the total amount of money that can be created is

Answers

the additional money created is 0.25 x $1000 = $250 so add that to the deposit: $1000 + $250 =$1250 created

According to the Money Multiplier theory, the central bank can change the supply of money to the economy by changing the reserve requirements.

What do you mean by Money Multiplier?

The total amount of money in a commercial bank is created, in general, the number of stocks multiplied by a set amount of central bank money (multiplier).

If banks do not have excess deposits, the total withdrawal amount is the same as the repayment deadlines. Theoretically, banks will never have a surplus.

[tex]\rm\,money \; multiplier = 1/ r \\\\ \rm\,money \; multiplier = 1/0.25\\\\ \rm\,money \; multiplier = 4\\\\(r = reserve \;requirement)[/tex]

So, if I know that the multiplier rate is 4, then if the central bank creates the reserve requirement at 0.25 then the amount that will be kept as reserve will be 0.25 multiplied by 1000 which is $250.

Thus, the total amount of money that can be created will be a multiplier multiplied by 1,000 which is 4*1,000 = $4,000.

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Fabian (16), will be claimed as a dependent on his parents' tax return. His only income during the year consisted of $10,000, which was his net profit from a lawn mowing business. What is Fabian's self-employment tax

Answers

Fabian's self-employment tax equals $1,413.

Net Income from Self employment = $10,000

Income liable for Self employment Tax = $10,000 * 92.35%

Income liable for Self employment Tax = $9,235

Fabian's Self employment Tax = $9,235 * 15.3%

Fabian's Self employment Tax = $1,413

Hence, Fabian's self-employment tax equals $1,413

Therefore, the Option B is correct.

Missing options "$383 $1,413 $1.530 $10.000"

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QUESTION 24
More communication is always better.
O True
O False

Answers

Answer:

true

Explanation:

Communication helps understanding people better removing misunderstanding and creating clarity of thoughts and expression.

How will the business function if something happens to one of the key members of the management team?

Answers

By putting together an emergency or a business continuity plan. For example. All sales people in a company will not be allowed to travel on the same plane to the conference location.

When the business function if something happens to one of the key members of the management team so, by creating a company continuity strategy or an emergency plan or replace with another member.

What do you mean by the business function?

An organization's activities are referred to as business functions, and they can be further broken down into core and support functions.

The production of finished goods or services destined for the market or for other parties is one of an enterprise's core business functions.

Because completing the other management functions significantly depends on having a good plan, planning is a crucial management function.

Organizations have closed their doors permanently as a result of poor management. High employee turnover is a direct outcome of poor leadership.

Therefore, when the business function if something happens to one of the key members of the management team so, by creating a company continuity strategy or an emergency plan or replace with another member.

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A firm purchased $120,000 worth of light general-purpose trucks. The operations of the trucks lead to annual income of $60,000 for years 1~4. These trucks were then sold for $20,000 at the end of year 4. Assume a 30% combined tax rate. With a 40% bonus depreciation plus MACRS depreciation, do the following.
(a) (10 pts) Calculate the before-tax IRR.
(b) (10 pts) Calculate the after-tax IRR.

Answers

The before-tax IRR is 37.93%

The after-tax IRR is 19.32%

The internal rate of return (IRR) is defined as the return rate on a project investment project over a periodic lifespan.

It is also referred to as the net present value of an investment project which is zero. It can be expressed by using the formula:

[tex]\mathbf{0= NPV \sum \limits ^{T}_{t=1} \dfrac{C_t}{(1+1RR)^t}- C_o}[/tex]

where;

[tex]\mathbf{C_t}[/tex] = net cash inflow for a time period (t)[tex]\mathbf{C_o=}[/tex] Total initial investment cost

(a)

For the before-tax IRR:

The cash outflow = $120000

Cash Inflow for the first three years = $60000

Cash inflow for the fourth year = $60000 + $20000 = $80000

Using the above formula, we have:

[tex]\mathbf{0 = \dfrac{60000}{(1+r)^1}+ \dfrac{60000}{(1+r)^2}+ \dfrac{60000}{(1+r)^3}+ \dfrac{80000}{(1+r)^4}}[/tex]

By solving the above equation:

r = 37.93%

(b)

For the after-tax IRR:

The cash outflow = $120000

Recall that:

Cash Inflow = Cash inflow × Tax rate

For the first three years; the cash inflow is:

[tex]\mathbf{=60000 -(60000\times 0.3) } \\ \\ \mathbf{ = 60000 -18000} \\ \\ \mathbf{ = 42000}[/tex]

For the fourth year, the cash inflow is

[tex]\mathbf{=80000 -(60000\times 0.3) } \\ \\ \mathbf{ = 80000 -18000} \\ \\ \mathbf{ = 62000}[/tex]

Using the above IRR formula:

[tex]\mathbf{0 = \dfrac{42000}{(1+r)^1}+ \dfrac{42000}{(1+r)^2}+ \dfrac{42000}{(1+r)^3}+ \dfrac{62000}{(1+r)^4}}[/tex]

By solving the above equation:

r = 19.32%

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Question 56 of 75. Louise is a 29-year-old taxpayer who will use the head of household filing status. Her 2020 modified adjusted gross income is $48,000. During the year, she made a $1,500 contribution to her employer's 401(k) plan. She has never taken a distribution from any retirement plan. The maximum amount Louise may receive for the retirement savings contributions credit (Saver's Credit) is:

Answers

Considering the situation described above, the maximum amount Louise may receive for the retirement savings contributions credit (Saver's Credit) is "$150."

This is because according to the Internal Revenue Service regulations, for individuals filing under the head of household filing status, with an adjusted gross income of $31,876 - $48,750, such person would only be able to receive 10% of his retirement savings contributions credit (Saver's Credit).

Therefore, Louise has only contributed $1,500 to her employer's 401(k) plan. Consequently, she can only receive 10%, which is "$150."

Hence, in this case, it is concluded that the correct answer is "$150."

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Assuming that a periodic inventory system is used, what is the amount allocated to ending inventory on a LIFO basis

Answers

The amount allocated to ending inventory is $3664.

LIFO is an inventory method that means last in, first out. It means that it is assumed that the latest inventory that is sold, is the first to be sold. Ending inventory is made up of inventory that is purchased eelier.

Total inventory sold = 40 + 26 = 68 units Sum of total inventory bought and beginning inventory = 10 + 60 + 30 = 100 Ending inventory = 100 - 68 = 32Value of ending inventory = (22 x $112) + (10 x $120)

$2464 + $1200 = $3664

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Trey is the manager of a sales team in a corporation. If his team members are able to meet their daily targets regularly, they get an extra day off every month. However, if they fail to do so, Trey makes them work extra hours every week. In this scenario, Trey is using _____.

A. concertive control

B. bureaucratic control

C. adaptive control

D. normative control

Answers

The control used by Trey when he want employee to work extra hours every week is they failed to meet target is known as bureaucratic control.

The bureaucratic control refer to a form of control which is base on formal system of rules, roles, records, rewards etc

Typically, an organization uses the bureaucratic control to influence, monitor and assess its employee performance.

Hence, the control used by Trey when he want employee to work extra hours every week is they failed to meet target is known as bureaucratic control.

Therefore, the Option B is correct.

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How do social media sites impact the hospitality and tourism industry and its employees?

Answers

Answer:

Social media permits hotel managers to get immediate and direct feedback from their clients, so they can understand better their needs and wants. On the other hand, social media can have a negative effect too.

Explanation:

Hopes this helps

If the nominal exchange rate between the American dollar and the New Zealand dollar is 1.36 New Zealand dollars per American dollar, how many American dollars are required to buy a product that costs 3.50 New Zealand dollars

Answers

2.57 American dollars are required to buy a product that costs 3.50 New Zealand dollars.

Given that the nominal exchange rate between the American dollar and the New Zealand dollar is 1.36 New Zealand dollars per American dollar, to determine how many American dollars are required to buy a product that costs 3.50 New Zealand dollars, the following calculation must be performed:

1.36 = 1 3.50 = X 3.50 x 1 / 1.36 = X 3.50 / 1.36 = X 2.57 = X

Therefore, 2.57 American dollars are required to buy a product that costs 3.50 New Zealand dollars.

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Which of the following are the fastest growing forms of marketing?


Direct and digital


Undifferentiated and differentiated


Internal and external


Mass and targeted


Standardized and customized

Answers

Answer: the answer is a

Explanation:

Answer:

I think it's A

Explanation:

nowadays a lot of people use digital ..almost everyone is online now

people love direct talking and dealing like me I get offended when they beat around the Bush so I conclude it to ans A

hope this will help

Pamelia (21) is a full-time undergraduate student pursuing an accounting degree at her state university. During the year, she received a $6,500, unrestricted scholarship, reported to her on Form 1098-T rather than Form W-2. She spent $5,500 of the scholarship funds on her current-year tuition, and she applied the rest to room and board. Pamelia also had income from a part-time job, and she is required to file a 2020 tax return. How does she report the scholarship on her Form 1040

Answers

Based on the information given, in order to report the scholarship, the best option is B. She should enter "SCH" and "1000" on the dotted line next to line 1 of form 1040.

It should be noted that form 1040 is the form that uses by individual taxpayers to file their taxes with the IRS. In this case, it should be noted that scholarship money can either be tax fee or partially free.

From the complete information, Pamelia received a $6,500, unrestricted scholarship, reported to her on Form 1098-T rather than Form W-2. Therefore, since she didn't get a W-2 listing the amount that's taxable, she should write SCH" and "1000" on the dotted line next to line 1 of form 1040.

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True or false?

Amelia is interested in government but also wants to travel around the world. A career in the Foreign Services pathway of the Government and Public Administration cluster might be a good fit for Amelia.

Question 11 options:

True


False

Answers

Considering the situation, it is True that a career in the Foreign Services pathway of the Government and Public Administration cluster might be a good fit for Amelia.

What is the Foreign Services pathway?

Foreign Services pathway is a department in government public services whose expertise and undertakings are found in U.S. embassies, political and economic analysis, or assisting American citizens overseas.

Workers in the Foreign Services pathway works in the following places:EmbassiesConsulates Diplomatic missionsWashington, D.C., etc.

Hence, in this case, it is concluded that the correct answer is True.

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Answer:

true

Explanation:

Marcus (20) attends State University and is a qualifying student for the purpose of the American Opportunity Tax Credit (AOTC). His parents will claim him as a dependent on their jointly-filed 2020 return. Their adjusted gross income is $125,000, and they paid $14,000 for Marcus' tuition during the year. What is the maximum AOTC Marcus' parents may be eligible to receive

Answers

The maximum AOTC that can be claimed by Andre’s parents is $2,500.

American Opportunity Tax Credit means a tax credit on education expenses which are incurred within first four years of a student’s higher education.

The full tax credit is allowed when modified adjusted gross income is $160,000 or less.

100% of first $2000 spent on education expenses and 25% of next $2000 of qualifying education expenses.

Maximum AOTC = $ 2000 + (0.25 × $2000)

Maximum AOTC = $2000 + $ 500

Maximum AOTC = $2500

Therefore, the maximum AOTC that can be claimed by Andre’s parents is $2,500.

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Match the items according to their impact on aggregate demand (AD).

a. Increase AD
b. Decrease AD
c. will not change AD

1. A dramatic decline in the average price of houses.
2. An announcement by the central bank to maintain its existing monetary policy.
3. An increase in income tax, rates on individuals earning more than $450, 000 per year.
4. A dramatic improvement in the stock market, causing investors' wealth to rise.
5. A recession occurring in a trading partner's economy.

Answers

Answer:

A recession occurring in a trading partners economy

Which of the following is a type of intellectual property?

Answers

Answer:

house

Explanation:

HELP

A supply curve is opposite of a demand curve. From which point -of -view does a supply curve make the most sense?

Answers

Answer:

A, From the business perspective

Explanation:

Supply will always be determined by businesses as the supply will be based on their everlasting drive to increase profits. By being able to decrease supply (shift the graph to the left) or increase (shift to the right) they will be able to maximize their profits based on their needs (ATC, Opportunity cost, marginal/revenue costs)

How to write email asking for further details and paying procedure

Answers

Answer:

considering that an address is not mentioned, following is a letter in regards to payment procedure,

xxx

xxx(address),

To whoever it may concern,

Dear Sir/Madam,

I am writing this letter to you, seeking a few answers in regards to your leaflet.I recently came accross your advertisement for products.

I wanted to inquire in regard to the sauna Belt that ur offering.it was mentioned that a scale is going on till the 31st of January. could you kindly mention the suitable payment procedure for this order.

Thank you,

your sincerely,

shivangi sharma

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Help bell pelsss I need starlight forward answer

Answers

Answer:

i ont know is coreect

It is a manageable increase so the answer is b I’m guessing I’m not sure

The goal of a subsidy is to __________. a.) discourage consumption of a good b.) raise revenue for the government c.) encourage production of a good d.) avoid deadweight loss

Answers

The goal of a subsidy is to encourage production of a good.

A subsidy can be described as when the government reduces the cost of production or the cost of a good or service to consumers. It is a form of transfer of wealth from the government to consumers or producers.

The purpose of subsidies is to reduce the price of goods and services. This encourages production or consumption. Subsidies reduces the revenue of the government.

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What might cause a demand curve to shift to the right?

A. A decrease in the product's own price
B. An increase in the price of a complement
C. A decrease in the price of a substitute
D. An increase in the price of a substitute

Answers

Answer:

D. An increase in the price of a substitute

Explanation:

Law of Demand

The law of demand states that as the price of a product of good rises, the quantity demanded for that good or product falls; conversely, if the price of a product or good falls, then the quantity demanded for that good rises.

Given the inverse relationship between the price of a good and the quantity demanded for that good, then its graph will show a downward-sloping demand curve.  

A change in demand represents the leftward- or rightward-shift of the entire demand curve. This may be caused by the following factors:

Changes in the income of buyersChanges in consumers' preferences, A change in the price of related goods (substitutes and complements), Number of buyers within a market, and The buyers' expectation on the future prices of goods.  

Types of Related Goods:

Substitutes: two similar goods that fulfill about the same needs or wants of the buyers.

Examples of substitute goods:  Coca-Cola and Pepsi, butter and margarine.  

Complements: these are two goods that are consumed together. When the price of one good goes up, the demand for the complement good declines.

Examples of complements: Tennis racket and tennis ball, ink cartridge and printers.

Answer:Substitute goods:

If the price of one good rises, then the buyers will demand more of the substitute good with a lower price. This causes a rightward-shift on the demand curve of that substitute good.      

This description matches Option D:  an increase in the price of a substitute.

what sources could be used to evaluate performance of people working in the following jobs:
Sales representative
TV repairer
Nursing Director at Hospital
HR Manager
Air Traffic Controller

Answers

Nursing director at hospital

Sources could be used to evaluate the performance of people working in the following jobs?

The correct answer is Option A. Sales representative

What are the duties of a sales representative?

Sales reps are responsible for selling products and meeting customer needs while receiving orders from existing or potential retailers. They ensure that customers are satisfied and properly cared for at the time of purchase. This allows you to set up a new account for your employer.

This job requires impeccable soft sales skills such as strong communication skills, organizational skills, and problem-solving skills, as well as deep technical knowledge of products, businesses, and industries.

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PLEASE HELP

Assuming all other factors are the same, which statement about the cost of
loans is correct?
A. A loan with simple interest will cost more than a loan with
compound interest.
B. A loan with simple interest and a loan with compound interest will
cost the same.
C. Interest compounded daily will cost more than interest
compounded monthly.
D. Interest compounded annually will cost more than interest
compounded quarterly.
SUBMIT

Answers

Answer:

=> C. Interest compounded daily will cost more than interest compounded monthly.

The proper answer is Daily interest compounding is more expensive than monthly interest compounding. So, the best choice is (C).

What is interest?

In the fields of finance and economics, interest is the payment made at a set rate by a borrower or deposit-taking financial institution to a lender or depositor in excess of the principal amount (the amount borrowed).

It is not the same as a fee that the borrower might pay to the lender or another entity. It also differs from a dividend, which is money given to shareholders (owners) by a company from its profit or reserve, but not at a set rate predetermined in advance, but rather on a pro rata basis as a share of the reward received by risk-taking businesspeople when revenue is earned that exceeds all costs.

Hence, option (C) is accurate.

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Which medium (or media) do you think would be appropriate for each of the following kinds of messages that an employee could receive from a boss: (a) a raise, (b) not receiving a promotion, (c) an error in a report prepared by the employee, (d) additional job responsibilities, and (e) the schedule for company holidays for the upcoming year

Answers

4 scores and seven years ago our founding fathers so on and so fourth the answer is b 69

Which of the following financial statements is also called a profit and loss statement?

Answers

Answer:

Also known as the profit and loss statement or the statement of revenue and expense, the income statement primarily focuses on the company's revenues and expenses during a particular period.

Rise Up Retail Industry Fundamentals
Review - Part 1
Matehing Vocabulary
A Allocation
B. Corporation
0, Customers
D. Manufacturers
E Products
F. Retail Product Cycle
O, Retailer
H. Wholesaler
1
People that purchase goods or services from a business
2. Any entity that produces finished products are
3 Physical goods that are bought and sold, such as food, clothes, & household
itema
4
A business or person that sells products and/or services to customers, and they
seleet merchandise and services based on the needs of a specific store, region or
community
An amount or portion of a resource assigned or distributed to a store or recipient
0 in both physical and online shopping, this explains the process from choosing the
products and services to offer to getting them in the hands of customers
An entity that buya large quantities of products directly from the manufacturer
and then sella amaller amounts of products to different retailers
8 Business that has shareholders through publicly traded stock, and usually has
centralized decision-making for ita multiple store locations.
Matching Examples
A Example of Business in Retail
B. Example of Distribution Center
G Example of Omnichannel Retail
D. Example of Retail Product (x2)
E. Example of Retail Service (x2)
Car wash
10
Customers being able to shop in person and online while also receiving texts and
emails about sales and promotions
Department store
12. Facility used for receiving, temporary storage, and distribution of goods to the retail
centers based on orders as they are received
New car tires
18 Warranty on an item
Renigerator

Answers

Answer:

give me asec

Explanation:

∫12cos(4θ)dθ= ? Solve the integral

Answers

The integral of [tex]\int\limits {12cos(4\theta )}\ is\ 3sin4\theta +C[/tex]

Integration is a way of adding parts to find the whole. Integration can be used to find areas, volumes, central points and many useful things.

[tex]\int\limits {12cos(4\theta )} \, d\theta\\\\ =12\int\limits {cos(4\theta )} \, d\theta\\\\=12(\frac{sin4\theta}{4}) +C\\\\=3sin4\theta +C[/tex]

Where C is the constant of integration

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A hierarchical listing of what must be done in a project is called a: Multiple Choice work breakdown structure (WBS). PERT. planning matrix. crashing plan. critical path.

Answers

A hierarchical listing of what must be done in a project is called: work breakdown structure (WBS).

During the course of a project, a work breakdown structure is compiled that states the various stages in the course of the project. These stages are broken down into manageable bits.

Tasks and subtasks are included so that the engineers know where they are in the course of the project.

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Which of the following is not a characteristic of rent controls?

Lower expenditures on maintenance

Greater availability of apartments

Fewer newly built apartment buildings

Excess demand for apartments

Answers

The answer is: B - Greater availability of apartments.

The greater availability of apartments is not one of the tools that can characterize rent control.

The term rent control refers to the rules and regulations that are given by the policymakers. The rent control can reduce the quality and the rental housing units.

Hence the option B is correct.

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which is true in a perfect economy ?
business owners should focus on telling customers how the features of their products are different from other available products.
determining the best price for the product is more important than the marketing. business owners should focus on pricing their products correctly so customers choose it over competitors products. advertising will have little effect on the success of the products and it not needed​

Answers

Answer:

business owners should focus on pricing their products correctly so customers choose it over competitors products.

Explanation:

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