Misty cumbie worked as a waitress at the vita café in portland, oregon. the café was owned and operated by woody woo, inc. woody woo paid its servers an hourly wage that was higher than the state’s minimum wage (which was higher than the federal minimum wage), but the servers were required to contribute their tips to a "tip pool." approximately one-third of the tip-pool funds went to the servers, and the rest was distributed to kitchen staff members, who otherwise are not considered tipped employees. misty sued the employer and alleged that the tip-pooling arrangement violated the minimum wage provisions of the fair labor standards act. does it? explain.

10. in this case, the court likely will find for (woody woo, inc./ misty cumbie/ kitchen staff members)

assume woody woo decided to pay its servers and kitchen staff the legal minimum wage for a tipped employee (which is less than the required state minimum wage) plus tips received from the tip-pool funds. under the fair labor standards act, employers can require employees to pool their tips for "redistribution" among tipped employees to ensure that all tipped employees make at least the minimum wage and are treated fairly.

11. if woody woo, inc. pays the lower salary plus tips and then creates a tip pool where the servers’ tips are split among the servers and kitchen staff, this (does not violate/ violate) the flsa.

12. with these facts, the court most likely would find for(woody woo, inc./ misty cumbie/ kitchen staff members).

Fred smithers, a recent college graduate decided to open his own portable juice bar, smithers smoothies, to wheel around newport beach. you, a trusted friend of fred, are a business major that has also recently graduated and agreed to handle the books for a while to get some practical experience and have a favor that you can ask of fred in the future. given the following five transactions concerning the new venture, prepare the necessary journal entries for the transactions, post the journal entries to appropriate t accounts and prepare a trial balance as of the end of the month in order to answer to the necessary may 2: fred invests $12,000 of his own money to start the new company. this money was obtained from a part-time job working at a legal firm while he was in school. may 3: fred spent $5,100 cash to purchase a refrigerated trailer that he can pull behind his car and set up at the beach. under your advice, fred agrees to place the new asset under an account called "equipment." may 6: fred bought $640 of supplies on account from the flav-o-rite confectioners company. because they will last longer than a single accounting period fred agrees to record them as, "supplies" as per your suggestion. may 13: fred sat on the beach for six hours without a single sale and was feeling very down. right before he left, however, a plumber escorting his family reunion along the beach stopped by his stand and bought $800 worth of smoothies for the entire family. under your advice, fred agrees to call this cash revenue, "sales." may 15: excited about his new venture, fred withdraws $350 from the company to take his girlfriend out to dinner. what would be the balance in the cash account at the end of the period following the posting of all the transactions?