THE CAPSTONEPROJECT

• 3/5/2015• UEI Business

• Fatimha Zellars• Instructor Frank Ezenekwe

1.Percentage increase in value2. Payroll deductions3. How to calculate property tax4. How to file tax returns- case study 10405. How to calculate tax due & tax refund6. How health & life insurance works7. Automobile insurance accident breakdown8. The purchasing cycle & its various elements

Percent Increase in Value

• To determine the increase of pay from last year to the current year:

• This year 52,000 and the base pay 43,000• 52,000 -43,000= 9,000• 9,000 divided by 43,000= .209• .209 x 100= 20.9%

Payroll Deductions

All calculation of deductions include the following: State withholding tax, multiply the amount of gross earnings by the state withholding tax rate (seven states do not have state income tax), social security, medi-care, marital status, allowance, all deducted from gross earnings

Calculate Property Tax

• Multiply the market value of the property by the assessed rate Determine the number of $100 in the assessed value Multiply the number of the $100s by the tax rate per $100 to determine the amount of tax due.

• Divide the market value of the property by $1,000 to determine the number of thousands, Multiply the tax rate per thousand by the number of $1,000s determine the amount of tax due.

How to file tax returns• STEPS: Calculate total income, adjusted

income by subtracting the $2,000 IRA contribution from the total income, medical expenses exceeding 7.5% of adjusted income, total itemized deductions: Medical expenses + Real estate tax + Personal property tax + Home mortgage interest + Charitable deductions Subtract the itemized deductions from adjusted income, find amount for XX exemptions and subtract from the taxable amount, find the income tax in the tax tables, and subtract tax from the amount of taxes paid to find the amount of tax due or refund amt due.

Summary

• This area of Business has skills to learn and strengthen bookkeeping, accounting, office administration and with practice of these

entry level knowledge will make an effective ability to work productive in the

environment.