Question : 72.The monthly salaries for December and the year-to-date earnings as : 1220455

72.The monthly salaries for December and the year-to-date earnings as of November 30 for the three employees of the Design Warehouse are listed below. Compute the amount of social security tax and Medicare tax to be withheld from each of the employee’s gross pay for December. Assume a 6.2 percent social security tax rate and a base of $113,700 for the calendar year. Assume a 1.45 percent Medicare tax rate.    

Employee No. 1: Soc. Sec. Tax, $582.80; Medicare Tax, $136.30Employee No. 2: Soc. Sec. Tax, zero; Medicare Tax, $145.00Employee No. 3: Soc. Sec. Tax, $248.00; Medicare Tax, $137.75Feedback: Employee No. 1: $9,400 * .062 = $582.80; $9,400 * .0145 = $136.30Employee No. 2: $0 (maximum reached); $10,000 * .0145 = $145Employee No. 3: ($113,700 – $109,700) * .062 = $248; $9,500 * .0145 = $137.75

73.The monthly salaries for December and the year-to-date earnings as of November 30 for the three employees of the Barbara’s Bookstore, Inc. are listed below. Compute the amount of social security tax and Medicare tax to be withheld from each of the employee’s gross pay for December. Assume a 6.2 percent social security tax rate and a base of $113,700 for the calendar year. Assume a 1.45 percent Medicare tax rate.    

Employee No. 1: Soc. Sec. Tax, $142.60; Medicare Tax, $114.55Employee No. 2: Soc. Sec. Tax, $496.00; Medicare Tax, $116.00Employee No. 3: Soc. Sec. Tax, zero; Medicare Tax, $143.55Feedback: Employee No. 1: $ ($113,700 – $111,400) * .062 = $142.60; $7,900 * .0145 = $114.55Employee No. 2: $8,000 * .062 = $496; $8,000 * .0145 = $116Employee No. 3: $0 (maximum reached); $9,900 * .0145 = $143.55

74.The monthly salaries for December and the year-to-date earnings as of November 30 for the three employees of Heather’s Hair Salon are listed below. Compute the amount of social security tax and Medicare tax to be withheld from each of the employee’s gross pay for December. Assume a 6.2 percent social security tax rate and a base of $113,700 for the calendar year. Assume a 1.45 percent Medicare tax rate.    

Employee No. 1: Soc. Sec. Tax, $111.60; Medicare Tax, $130.50Employee No. 2: Soc. Sec. Tax, zero; Medicare Tax, $133.40Employee No. 3: Soc. Sec. Tax, $545.60; Medicare Tax, $127.60Feedback: Employee No. 1: $ ($113,700 – $111,900) * .062 = $111.60; $9,000 * .0145 = $130.50Employee No. 2: $0 (maximum reached); $9,200 * .0145 = $133.40Employee No. 3: $8,800 * .062 = $545.60; $8,800 * .0145 = $127.60

75.During the week ended May 15, 2016, Scott Fairchild worked 40 hours. His regular hourly rate is $14. Assume that his earnings are subject to social security tax at a rate of 6.2 percent and Medicare tax at a rate of 1.45 percent. He also has deductions of $31 for federal income tax and $21 for health insurance.A) What is his gross pay for the week?B) What is the total of his deductions for the week?C) What is his net pay for the week?  

A) $560.00B) $94.84 ($34.72 + $8.12 + $31.00 + $21.00)C) $465.16Feedback: A. $14 * 40 hours = $560B. $34.72 ($560 * .062) + $8.12 ($560 * .0145) + $31 + $21 = $94.84C. $560.00 – $94.84 = $465.16

76.During the week ended January 11, 2016, Darlene Marcussen worked 40 hours. Her regular hourly rate is $18. Assume that her earnings are subject to social security tax at a rate of 6.2 percent and Medicare tax at a rate of 1.45 percent. She also has deductions of $40 for federal income tax and $21 for health insurance.A) What is his gross pay for the week?B) What is the total of his deductions for the week?C) What is his net pay for the week?  

A) $720.00B) $116.08 ($44.64 + $10.44 + $40.00 + $21.00)C) $603.92Feedback: A. $18 * 40 hours = $720B. $44.64 ($720 * .062) + $10.44 ($720 * .0145) + $40 + $21 = $116.08C. $720 – $116.08 = $603.92